10-1 Quality Control

Chapter 10

Quality Control

Operations Management, Seventh Edition, by William J. Stevenson

McGraw-Hill/Irwin Copyright © 2002 by The McGraw-Hill Companies, Inc. All rights reserved.
10-2 Quality Control

Phases of Quality Assurance

Figure 10-1

Inspection Corrective Quality built

before/after action during into the
production production process

Acceptance Process Continuous

sampling control improvement

The least The most

progressive progressive

Operations Management, Seventh Edition, by William J. Stevenson

McGraw-Hill/Irwin Copyright © 2002 by The McGraw-Hill Companies, Inc. All rights reserved.
10-3 Quality Control

Inspection
Figure 10-2
• How Much/How Often
• Where/When
• Centralized vs. On-site

Inputs Transformation Outputs

Acceptance Process Acceptance

sampling control sampling

Operations Management, Seventh Edition, by William J. Stevenson

McGraw-Hill/Irwin Copyright © 2002 by The McGraw-Hill Companies, Inc. All rights reserved.
 10-4 Quality Control

Inspection Costs
Figure 10-3
Cost

Total Cost
Cost of
inspection

Cost of
passing
defectives
Optimal
Amount of Inspection
Operations Management, Seventh Edition, by William J. Stevenson
McGraw-Hill/Irwin Copyright © 2002 by The McGraw-Hill Companies, Inc. All rights reserved.
10-5 Quality Control

Where to Inspect in the Process

• Raw materials and purchased parts

• Finished products
• Before a costly operation
• Before an irreversible process
• Before a covering process

Operations Management, Seventh Edition, by William J. Stevenson

McGraw-Hill/Irwin Copyright © 2002 by The McGraw-Hill Companies, Inc. All rights reserved.
10-6 Quality Control

Examples of Inspection Points

Table 10-1
Type of Inspection Characteristics
business points
Fast Food Cashier Accuracy
Counter area Appearance, productivity
Eating area Cleanliness
Building Appearance
Kitchen Health regulations
Hotel/motel Parking lot Safe, well lighted
Accounting Accuracy, timeliness
Building Appearance, safety
Main desk Waiting times
Supermarket Cashiers Accuracy, courtesy
Deliveries Quality, quantity
Operations Management, Seventh Edition, by William J. Stevenson
McGraw-Hill/Irwin Copyright © 2002 by The McGraw-Hill Companies, Inc. All rights reserved.
10-7 Quality Control

• Statistical Process Control:

Statistical evaluation of the output of a
process during production

Operations Management, Seventh Edition, by William J. Stevenson

McGraw-Hill/Irwin Copyright © 2002 by The McGraw-Hill Companies, Inc. All rights reserved.
10-8 Quality Control

Statistical Process Control

• The Control Process

– Define
– Measure
– Compare to a standard
– Evaluate
– Take corrective action
– Evaluate corrective action

Operations Management, Seventh Edition, by William J. Stevenson

McGraw-Hill/Irwin Copyright © 2002 by The McGraw-Hill Companies, Inc. All rights reserved.
10-9 Quality Control

Statistical Process Control

• Variations and Control

– Random variation: Natural variations in the
output of process, created by countless
minor factors
– Assignable variation: A variation whose
source can be identified

Operations Management, Seventh Edition, by William J. Stevenson

McGraw-Hill/Irwin Copyright © 2002 by The McGraw-Hill Companies, Inc. All rights reserved.
10-10 Quality Control

Sampling Distribution

Figure 10-4
Sampling
distribution

Process
distribution

Mean

Operations Management, Seventh Edition, by William J. Stevenson

McGraw-Hill/Irwin Copyright © 2002 by The McGraw-Hill Companies, Inc. All rights reserved.
10-11 Quality Control

Normal Distribution

Figure 10-5

σ = Standard deviation

−3σ −2σ + 2σ + 3σ
Mean
95.44%

99.74%

Operations Management, Seventh Edition, by William J. Stevenson

McGraw-Hill/Irwin Copyright © 2002 by The McGraw-Hill Companies, Inc. All rights reserved.
10-12 Quality Control

Control Limits
Figure 10-6 Sampling
distribution

Process
distribution

Mean

Lower Upper
control control
limit limit

Operations Management, Seventh Edition, by William J. Stevenson

McGraw-Hill/Irwin Copyright © 2002 by The McGraw-Hill Companies, Inc. All rights reserved.
10-13 Quality Control

Type I Error

Figure 10-7

α /2 α /2

Mean

α = Probability LCL UCL

of Type I error

Operations Management, Seventh Edition, by William J. Stevenson

McGraw-Hill/Irwin Copyright © 2002 by The McGraw-Hill Companies, Inc. All rights reserved.
10-14 Quality Control

Control Chart
Figure 10-8
Abnormal variation Out of
due to assignable sources control
UCL

Mean
Normal variation
due to chance
LCL
Abnormal variation
due to assignable sources

0 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15
Sample number

Operations Management, Seventh Edition, by William J. Stevenson

McGraw-Hill/Irwin Copyright © 2002 by The McGraw-Hill Companies, Inc. All rights reserved.
10-15 Quality Control

Observations from Sample Distribution

Figure 10-9
UCL

LCL

1 2 3 4
Sample number

Operations Management, Seventh Edition, by William J. Stevenson

McGraw-Hill/Irwin Copyright © 2002 by The McGraw-Hill Companies, Inc. All rights reserved.
 10-16 Quality Control

Mean and Range Charts

Figure 10-10A
(process mean is
shifting upward)
Sampling
Distribution

UCL

x-Chart Detects shift

LCL
UCL

Does not
R-chart
detect shift
LCL
Operations Management, Seventh Edition, by William J. Stevenson
McGraw-Hill/Irwin Copyright © 2002 by The McGraw-Hill Companies, Inc. All rights reserved.
 10-17 Quality Control

Mean and Range Charts

Figure 10-10B

Sampling
Distribution (process variability is increasin

UCL

Does not
x-Chart
reveal increase
LC
L
UCL

R-chart Reveals increase

LC
L Operations Management, Seventh Edition, by William J. Stevenson
McGraw-Hill/Irwin Copyright © 2002 by The McGraw-Hill Companies, Inc. All rights reserved.
10-18 Quality Control

Control Chart for Attributes

• p-Chart - Control chart used to monitor

the proportion of defectives in a process
• c-Chart - Control chart used to monitor
the number of defects per unit

Operations Management, Seventh Edition, by William J. Stevenson

McGraw-Hill/Irwin Copyright © 2002 by The McGraw-Hill Companies, Inc. All rights reserved.
10-19 Quality Control

Use of p-Charts
Table 10-3
• When observations can be placed into two
categories.
– Good or bad
– Pass or fail
– Operate or don’t operate
• When the data consists of multiple samples of
several observations each

Operations Management, Seventh Edition, by William J. Stevenson

McGraw-Hill/Irwin Copyright © 2002 by The McGraw-Hill Companies, Inc. All rights reserved.
10-20 Quality Control

Use of c-Charts
Table 10-3
• Use only when the number of occurrences per
unit of measure can be counted; non-
occurrences cannot be counted.
– Scratches, chips, dents, or errors per item
– Cracks or faults per unit of distance
– Breaks or Tears per unit of area
– Bacteria or pollutants per unit of volume
– Calls, complaints, failures per unit of time

Operations Management, Seventh Edition, by William J. Stevenson

McGraw-Hill/Irwin Copyright © 2002 by The McGraw-Hill Companies, Inc. All rights reserved.
10-21 Quality Control

Counting Runs

Figure 10-11 Counting Above/Below Median Runs (7 runs)

B A A B A B B B A A B
Figure 10-12
Counting Up/Down Runs (8 runs)

U U D U D U D U U D

Operations Management, Seventh Edition, by William J. Stevenson

McGraw-Hill/Irwin Copyright © 2002 by The McGraw-Hill Companies, Inc. All rights reserved.
10-22 Quality Control

Process Capability
• Tolerances
– specifications
• Process variability
– Natural variability in a process
• Process capability
– Process variability relative to specification

Operations Management, Seventh Edition, by William J. Stevenson

McGraw-Hill/Irwin Copyright © 2002 by The McGraw-Hill Companies, Inc. All rights reserved.
10-23 Quality Control

Process Capability
Figure 10-14
Lower Upper
Specification Specification

Process variability matches

specifications
Lower Upper
Specification Specification

Process variability well within

Lower Upper
specifications Specification Specification

Process variability exceeds

specifications
Operations Management, Seventh Edition, by William J. Stevenson
McGraw-Hill/Irwin Copyright © 2002 by The McGraw-Hill Companies, Inc. All rights reserved.
10-24 Quality Control

Process Capability Ratio

specification width
Process capability ratio, Cp =
process width

Cp = Upper specification – lower specification

6σ

Operations Management, Seventh Edition, by William J. Stevenson

McGraw-Hill/Irwin Copyright © 2002 by The McGraw-Hill Companies, Inc. All rights reserved.
10-25 Quality Control

3 Sigma and 6 Sigma Quality

Figure 10-15
Lower Upper
specification specification

1350 ppm 1350 ppm

1.7 ppm 1.7 ppm

Process
mean
+/- 3 Sigma

+/- 6 Sigma

Operations Management, Seventh Edition, by William J. Stevenson

McGraw-Hill/Irwin Copyright © 2002 by The McGraw-Hill Companies, Inc. All rights reserved.