TOTAL

QUALITY
MANAGEMENT

T Q M

QUALITY IMPROVEMENT
TOOLS
Using M.S. Visio, Excel & Minitab
By: HakeemUrRehman

CONTENTS

What is a Process?
IPO Diagram
Process Flow Diagram
Process Analysis
Check Sheet
Graph / Charts
Pareto Analysis
Cause & Effect Analysis
Histogram
Scatter Plot
Process Capability & Control Charts
Use of M.S. Visio, Excel & Minitab

8 QUALITY
MANAGEMENT
PRINCIPLES

Customer-focus

Mutually beneficial
supplier relationship

Factual Approach
to Management

Leadership

8 QUALITY
MANAGEMENT
PRINCIPLES

Continual
Improvement

Involvement of
People

Process Approach
System approach to
management

WHAT IS A PROCESS?
Provides a visual representation of a process by defining a process and
demonstrating the relationships between input and output elements.
The input and output variables are known as factors (X) and
responses (Y) , respectively.

INPUTS
People
Material
Equipme
nt
Policies
Procedures
Methods
Environment

Y=F(x)
OUTPUT
S

PROCES
S
A blending
of inputs to
achieve the
desired
outputs

Perform a
Service

Produce a
Product

Complete a
Task

Output =
f(Input)
Y = f(X)

PROCESS INPUTS (Xs)

& OUTPUTS (Ys)

Y=F(x)

To get results, should we focus on the Y or X?

Y
Dependent
Output
Effect
Symptom
Monitor
The Outputs should be measureable
outcomes from the process that will
help us determine (i.e, measure) if a
process is improving. These are:
Critical to Customer (CTC) or
Critical to Quality (CTQ) outcomes
that are measureable.

X1 . . . X N
Independent
Input
Cause
Problem
Control
The inputs to a process are items
that affect the outcome of the
process. You may or may not have
control over these items.

Y=F(x)
Data Entry Method
Amount
of
Personnel Training
Method for obtaining
bill from information

BILLIN
G
PROCE
SS

DIFFERENT
IPOs
Time to complete a bill

Number of errors /
bill

Method
Sequencing of Steps
Tool Type
Team Structure

ASSEMB
LY
PROCES
S

Cycle Time
# of Defects
6

OVERVIEW OF PROCESS
MAPPING
A Flowchart/Process Map is a diagram that
uses graphic symbols to represent the nature
and flow of the steps in a process / system.
Deciding when & where to collect data
ANALYZING THE PROCESS:
1. Evaluate the process performance (Cost of Poor
Quality, Defects, Inventory Levels, Cycle time,
Capacity & Utilization of the resources) at each
step.
2. Determine where process bottlenecks occur.
3. Identify nonvalue added activities which should
be deleted or modified.
4. Identify new process steps to be added to
improve overall performance.

FEW PROCESS MAPPING

SYMBOLS
Process Symbol
An Operation or Action step

Terminator Symbol
Start or Stop Point in a process

Inventory / Buffer
Raw Material / Finished
Storage
Inventory / Buffer
Partial Finished Goods
Work
In
Process
Storage
Document Symbol
A Document or Report

Goods

Database Symbol
Electronically
Information
Flow Line

Decision Point

Stored

TYPES OF PROCESS MAPS

THE LINEAR FLOW PROCESS MAP

As the name states, the diagram shows the process steps in a

sequential flow, generally ordered from an upper left corner of the
map towards the right side.

THE DEPLOYMENT FLOW or SWIM LANE PROCESS MAP

The value of the swim lane map is that is shows you who or which
department is responsible for the steps in a process. This can provide
powerful insights in the way a process performs
9

Value Added & Non

Value Added
Value Added Activity
Transforms or shapes material or information or people
And its done right the first time
And the customer wants it
Non-Value Added Activity Necessary Waste
No value is created, but cannot be eliminated based on
current technology, policy, or thinking
Examples: project coordination, company mandate,
law
Non-Value Added Activity - Pure Waste
Consumes resources, but creates no value in the eyes
of the customer
Examples: idle/wait time, rework, excess checkoffs

EXERCISE
PARTY OF THE FIRST PART

11

PROCESS ANALYSIS
VOCABULARY
ACTIVITY TIMES: how long does the worker spend on the task?
CYCLE TIME=1/Flow Rate: time interval between the completion of two
consecutive
units
FLOW RATE=Minimum{Available Input, Demand, Process Capacity) or (1/Cycle
Time)
TAKT TIME = (Available Time) / (Demand)
INVENTORY = # of Units or Customers in the system = (Flow Rate X Flow Time)
CAPACITY=1/activity time (# of Resources / Activity Time): how many units can
the worker make per unit of time
BOTTLENECK: process step with the lowest capacity
PROCESS CAPACITY: capacity of the bottleneck
UTILIZATION =Flow Rate / Capacity
WORK LOAD/IMPLIED UTILIZATION = Total Demand / Theoretical Capacity
TIME TO FINISH X UNITS = X Units / Flow Rate
= Time through empty process + [(X 1) Units / Flow Rate]
Time to finish X units with a continuous flow process:
= Time through empty process + X Units / Flow Rate

PROCESS ANALYSIS
VOCABULARY
Processing Time

Bottleneck

a4

= Idle Time

a2
LABOR PRODUCTIVITY MEASURES

a1

a3

Review of Capacity Calculations

Number of Resourcesi
Capacityi =
Processing Time i

= Processing time

Cycle time CT= 1/ Flow Rate

Direct Labor Content=p1+p2+p3+p4
If
one
worker
per
resource:
Direct Idle Time=(CT-p1) +(CT-p2) +(CT-p3)
Average

labor
utilization
labor content

labor content direct idle time

Process Capacity=Min{Capacityi}

Cost of direct labor

Total wages per unit of time

Flow Rate = Min{Demand, Capacity}

Flow Rate per unit of time
Flow Rate
Utilizationi= Capacity
i
13

EXERCISE
BREAD MAKING & S. & A. HOT
DOGS

14

TYPES OF DATA
ATTRIBUTE DATA give you counts representing the
presence or absence of a characteristic or defect.
These counts are based on the occurrence of discrete
events, e.g.,
true/false statements
Accepted or rejected
Passed or fail
An attribute is not numerically measured; its either
there or its not.

VARIABLE DATA
are based on numerical
measurement of a key quality characteristic produced
by the process, e.g.,
Diameter of a shaft
Temperature of Oven

CHECK SHEET
A check sheet is a Form, in Diagram or
Table format, prepared in advance for
Recording/Collecting Data. You can thus
gather necessary Data by just making a
Check mark on the Sheet.
Main applications of a check sheet include
registering how often different problems
occur and registering the frequency of
incidents that are believed to cause
problems.

TYPES OF CHECK SHEET

There are four main types of check
sheets used for data collection (custom
check sheets can also be designed to fit
specific needs):
1. Defective item check sheet /
Attribute Check Sheet
2. Variable Check Sheet
3. Defective Location Check Sheet
4. Checkup Confirmation Check Sheet

TYPES OF CHECK SHEET

Defective Item (Attribute) Check Sheet:

used to identify what types of problems or defects

are occurring in the process.
Usually these check sheets will have a list of the
defects or problems that may occur in the process.
When each sample is taken, a mark is placed in the
appropriate column whenever a defect or a problem
has been identified.
Countable data is used in the defective item check
sheets.

TYPES OF CHECK SHEET

Variable Check Sheet:

Gathering data about a process also involves the

collection of information about variables, such as
size, length, weight, and diameter. These data are
best represented by organizing the measurements
into a frequency distribution on a variables check
sheet. The following Figure is variables check sheet
showing the frequency distribution of the length of
logs in a sample of 95trees.

TYPES OF CHECK SHEET

Defective Location Check Sheet:

Used to identify what types of problems or defects are occurring

in the process.
Used to identify the location of the defect on the product.
Used; when the external appearance of the product is
important.
Usually this type of check sheet consists of a picture of the
product. On this picture, marks can be made to indicate were
defects are occurring on the surface of the product.

TYPES OF CHECK SHEET

Checkup Conformation Check Sheet:
Used to ensure that proper procedures are

being followed.
These check sheets usually will have a list of
tasks that need to be accomplished before
the action can be taken.
Examples of checkup confirmation check
sheets are final inspection, machine
maintenance, operation checks, and service
performance check sheets.

DESCRIPTIVE ANALYSIS
OF QUALITATIVE DATA
QUALITATIVE
DATA
TABLES

One Way
Table
TwoWays
Table
.
.
.
N Ways

GRAPH
S
Bar Chart
Pie Chart
Multiple Bar
Chart
Component Bar
Chart

NUMBE
RS

Percentag
es
22

WHAT IS A PARETO CHART?

Bar chart arranged in descending order of height from left to right

Bars on left relatively more important than those on right
Separates the "vital few" from the "trivial many" (Pareto Principle)

PARETO ANALYSIS
(Cont)
The 80:20 Rule Examples:
80% of your phone calls go to 20% of the
names of your list
20% of the roads handle 80% of the
traffic
80% of the meals in a restaurant come
from 20% of the menu
20% of the people causes 80% of the
problems

24

PARTS OF PARETO
DIAGRAM
4

3
1

1 Frequency axis
2
Axis

Cumulative %age

3 Bars
4 Cumulative Line

CONSTRUCTING PARETO
DIAGRAM
Step 1: Collect the
data

Step 2: Order the data

CONSTRUCTING PARETO
DIAGRAM
Step
3:
Find
the
Percentage

Step 4: Find
Percentage

the

Cumulative

42/126 X 100 =
33.3

33.3+23.0 = 56.3

CONSTRUCTING PARETO
DIAGRAM
Step 5: Plot the
Bars

Step 6: Draw the Cumulative

Line

CONSTRUCTING PARETO
DIAGRAM
Step 7: Identify the Break
Point

PARETO ANALYSIS
(Cont)

Pareto Chart EXERCISE:

Suppose you work for a company that

manufactures motorcycles. You hope to
reduce quality costs arising from defective
speedometers. During inspection, a certain
number of speedometers are rejected, and
the types of defects recorded.
You enter the name of the defect into a
worksheet column called Defects, and the
corresponding counts into a column called
Counts.
You know that you can save the most
money by focusing on the defects
responsible for most of the rejections.
A Pareto chart will help you identify which
defects are causing most of your problems.
30

CAUSE & EFFECT

DIAGRAM

Cause-and-Effect Diagram (also known as a

"Fishbone Diagram") is a graphical technique for
grouping people's ideas about the causes of a
problem.
Invented by Professor Kaoru Ishikawa of Tokyo
University; Japanese expert in quality management.
Major purpose: act as first problem solving step;

CAUSE & EFFECT

DIAGRAM

Step 1: Identify the problem and enter in effect

box

Step 2: Draw in the spine of fishbone

Step 3: Identify Main Causes

Step 4: Identify sub-causes influencing the

effect

32

DESCRIPTIVE ANALYSIS OF QUANTITATIVE DATA

QUANTITATIVE DATA
GRAPH
S

TABLE
S
Frequency
Distribution

Histogram

CENTER

Mean
Median
Mode

NUMBE
RS

VARIATION

Range
Inter-Quartile Range
Variance
Standard Deviation
Coefficient of Variation

33

WHAT IS A HISTOGRAM?

A histogram
is a summary graph showing
distribution of data points measured that falls
within various class-intervals.
WHAT QUESTIONS THE HISTOGRAM ANSWERS?
What distribution (center, variation and shape) does the
data have?
Does the data look symmetric or is it skewed to the left or
right?
Does the data contain outliers?
Is Process within Specification Limits?

ACCURACY & PRECISION

PROCESS CAPABILITY
The

ability of a process to meet

product
design/technical
specifications
Design

specifications
(Tolerances)

for

products

upper and lower specification limits (USL,

LSL)

Process
process

variability

in

production

natural variation in process (3 from the

mean)

36

TWO KINDS OF VARIABILITY

Inherent variability:

Inherent in machine/process (design, construction and

nature of operation).

Assignable variability.

Variability where causes can be identified.

Assignable variability eliminated / minimized by Process
Capability Study.

FOR A CAPABLE PROCESS:

INHERENT + ASSIGNABLE < TOLERANCE
37

Process Capability Index:

Cp -- Measure of Potential
Capability

allowable process variation USL LSL

Cp

actual process variation

6
LSL

USL

Cp > 1

Cp = 1

Cp < 1
38

Process Capability Index:

Cpk -- Measure of Actual Capability
C pk

X LSL USL X
min
,

is the standard deviation of the production

process
Cpk considers both process variation () and
process location (X)

39

 WHY Cpk IS NEEDED?

Cpk TELLS U ABOUT THE POSITIONING / LOCATION OF
THE CURVE
IS Cp NOT ENOUGH?
Cp TELLS U ONLY ABOUT THE SMARTNESS OF CURVE

CHANGE IN MEAN OVER THE TIME

40

PROCESS CAPABILITY INDEX

EXAMPLE

A manufacturing process produces a certain part with

a mean diameter of 2 inches and a standard deviation
of 0.03 inches. The lower and upper engineering
specification limits are 1.90 inches and 2.05 inches.
USL LSL 2.05 1.90
Cp

0.83
6
6(0.03)
2 1.90 2.05 2
X LSL USL X
,

min
,

3
3

3(0.03) 3(0.03)

C pk min

min[ 1.11,0.56] 0.56

Therefore, the process is not capable (the variation is

too large and the process mean is not on target)
41

PROCESS CAPABILITY INDEX

EXERCISE

Consider the two processes shown here:

Process A
= 105
= 3

Process B
= 110
= 1

Specifications area at 100 4: Calculate C p, Cpk and interpret

these ratios. Which Process would prefer to use?

42

SCATTER PLOT
Is a graphical presentation of any possible
relationship between two sets of variables by a
simple X-Y plot, which may or may not be
dependent.
Scatter Plot "Calories Vs Fat"

30
25
20

Fat

15
10
5
0
260

280

300

320

340

360

380

400

Calories

43

420

SCATTER PLOT
What is the relationship between the X and Y
Plot?

No Correlation:
(Y does not
appear to be
related to X)

Positive
Correlation:
(An increase in X
may be related to
an increase in Y)

Negative
Correlation:
(An increase in X
may be related to
a decrease in Y)
44

CORRELATION COEFFICIENT
CORRELATION

INTERPRETATION

Perfect Positive relationship

Close to 1

Strong Positive relationship

Close to 0 but positive

Slight Positive relationship

No relationship

Close to 0 but negative

Slight negative relationship

Close to -1

Strong Negative relationship

-1

Perfect Negative relationship

45

NORMAL DISTRIBUTION

-1

-2

-3

-4

-5

-6

-7

Axis graduated in Sigma

between + / - 1

68.27 %

between + / - 2

95.45 %

45500 ppm

between + / - 3

99.73 %

2700 ppm

between + / - 4

99.9937 %

63 ppm

99.999943 %

0.57 ppm

between + / - 5
between + / - 6

99.9999998 %

result: 317300 ppm outside

(deviation)

0.002 ppm

CONTROL CHARTS
Graphical and visual plot of changes in the data
over time ; This is necessary for visual
management of your process.
Control Charts were designed as a methodology
for indicating change in performance, either
variation or Mean/Median.

47

TYPES & SELECTION OF CONTROL

CHART
Variable

What type of
data do I
have?

What subgroup
size is available?

Counting
defects or
defectives?

n > 10 1 < n < 10 n = 1

X-bar &
S Chart

X-bar &
R Chart

Attribute

I & MR
Chart

Note: A defective unit

can have more than one
defect.

Defective
s

Defect
s

Constant
Sample
Size?

Constant
Opportunity?

yes
np
Chart

n
o
p Chart

yes
c
Chart
48

n
o
u Chart

CALCULATE P CONTROL
CHARTS
Center Line
Total number of defective items
p
Total number of items inspected

Control Limits
p (1 p )
ni
p (1 p )
LCL p p 3
ni
UCL p p 3

Where:
p:
ni:
LCLp:
UCLp:

Average proportion defective (0.0 1.0)

Number inspected in each subgroup
Lower Control Limit on P Chart
Upper Control Limit on P Chart

Since the Control Limits are a function of sample

size, they will vary for each sample.
49

T
otalnum
berofdesu
cb
tg
iv
eropm
sU
C
L
nip
3nip(1-)
np
np
CALCULATE np CONTROL
CHARTS

Center Line

Control Limits

Where:
np:

ni:
LCLnp:
UCLnp:

Average number defective items per subgroup

Number inspected in each subgroup
Lower Control Limit on np chart
Upper Control Limit on np chart

Since the Control Limits AND Center Line are a

function of sample size, they will vary for each
50
sample.

T
otalnum
berosfu
d
ebgro
ctp
sU
C
L
c
3
cc
c
CALCULATE c CONTROL
CHARTS

Center Line

Control Limits

Where:

c:
subgroups.
LCLc:
UCLc:

Total number of defects divided by the total number of

Lower Control Limit on C Chart.

Upper Control Limit on C Chart.

51

u
tualnum
T
o
berofd
eU
cnitsIdepntcifdU
C
L
u

3nii
uu
CALCULATE u CONTROL
CHARTS

Center Line

Control Limits

Where:

u:
inspected.
ni:
LCLu:
UCLu:

Total number of defects divided by the total number of units

Number inspected in each subgroup

Lower Control Limit on U Chart.
Upper Control Limit on U Chart.

Since the Control Limits are a function of

sample size, they will vary for each sample.
52

CALCULATE XBar and R CONTROL

CHARTS
Center Line
k

x
i 1

Control Limits

R
i

UCL x X A 2 R
LCL x X A 2 R

UCL R D 4 R
LCL R D 3R

Where:
Xi:
Average of the subgroup averages, it becomes the Center Line of the Control
Chart
Xi:
Average of each subgroup
k:
Number of subgroups
Ri :
Range of each subgroup (Maximum observation Minimum observation)
Rbar:
The average range of the subgroups, the Center Line on the Range Chart
UCLX: Upper Control Limit on Average Chart
LCLX:
Lower Control Limit on Average Chart
UCLR: Upper Control Limit on Range Chart
LCLR : Lower Control Limit Range Chart
A2, D3, D4: Constants that vary according to the subgroup sample size
Rbar (computed above)
(st. dev. Estimate)
=d2 (table of constants for subgroup size n)
53

U
C
L

B
S
U
C
L

A
S
s
x

kk

k
k
S
4
i
x
3
ii
1 3
1i
CALCULATE XBar and S CONTROL
CHARTS

Center Line

Control Limits

Where:
Xi:
Average of the subgroup averages, it becomes the Center Line of the
Control Chart
Xi:
Average of each subgroup
k:
Number of subgroups
si :
Standard Deviation of each subgroup
Sbar:
The average S. D. of the subgroups, the Center Line on the S chart
UCLX: Upper Control Limit on Average Chart
LCLX:
Lower Control Limit on Average Chart
UCLS:
Upper Control Limit on S Chart
LCLS : Lower Control Limit S Chart
A3, B3, B4: Constants that vary according to the subgroup sample size
Sbar (computed above)
(st. dev. Estimate) =c4 (table of constants for subgroup size n)
54

U
C
L

D
M
R
U
C
L

E
M
R
X

k
ii
R34
1 x2M
CALCULATE INDIVIDUAL and MR
CONTROL CHARTS

Center Line

Control Limits

Where:
Xbar:
Xi:
k:
Ri :

Average of the individuals, becomes the Center Line on the Individuals Chart
Individual data points
Number of individual data points
Moving range between individuals, generally calculated using the difference
between each successive pair of readings
MRbar:
The average moving range, the Center Line on the Range Chart
UCLX:
Upper Control Limit on Individuals Chart
LCLX:
Lower Control Limit on Individuals Chart
UCLMR:
Upper Control Limit on moving range
LCLMR :
Lower Control Limit on moving range
E2, D3, D4: Constants that vary according to the sample size used in obtaining the moving
range

(st. dev. Estimate)

MRbar (computed above)

=d2 (table of constants for subgroup size n)
55