CUSTOMER SATISFACTION Company Offer Customer needs

WHO IS THE CUSTOMER? A customer can be defined as one who purchases or patronizes for the purpose of receiving products or services. external internal. Inputs from External Suppliers Outputs to External Customers

CUSTOMER PERCEPTION OF QUALITY (ASQC Survey) Table 1-1 New and old cultures CUSTOMER PERCEPTION OF QUALITY (ASQC Survey) Performance Features Service Warranty Price Reputation  

Table 1-1 New and old cultures CUSTOMER FEEDBACK Discover customer dissatisfaction; Discover relative priorities of quality; Compare performance with the competition; Identify customer's needs; and Determine opportunities for improvement.  

CUSTOMER FEEDBACK METHODS Table 1-1 New and old cultures CUSTOMER FEEDBACK METHODS Comment Card Survey Focus Groups Toll-free Telephone Numbers Customer Visits Report Card Internet Employee Feedback  

USING CUSTOMER COMPLAINTS Table 1-1 New and old cultures USING CUSTOMER COMPLAINTS   Complain to Product Mgmt Front-line No One Auto 2% 21% 77% Mail order 1% 22% Groceries 15% 84% Clothing 0% 13% 87% Home Rep 4% 74% Appliances 12% 88% Auto Rep 28% 71% Most People don’t complaint!  

TRANSLATING NEEDS INTO REQUIREMENTS Table 1-1 New and old cultures TRANSLATING NEEDS INTO REQUIREMENTS  

Quality Function Deployment (QFD) Quality function deployment is a team-based management tool in which the customer expectations are used to drive the product development process. Conflicting characteristics or requirements are identified early in the QFD process and can be resolved before production.

Quality Function Deployment (QFD) Key benefits: product improvement, increased customer satisfaction, reduction in the total product development cycle, & increased market share.

Quality Function Deployment (QFD) Identify User Needs & Wants Gather raw data Interviews Focus Groups Observation Interpret raw data Affinity Diagram Needs Statements Organize needs & establish importance Surveys Conjoint Analysis

House of Quality

Technical Descriptors Interrelationship between Technical Descriptors (Voice of the Organization) Relationship between Requirements and Descriptors Prioritized Technical Descriptors Prioritized Customer Reqts Customer Reqts (Voice of the Customer)

4 Phases of QFD

Classical Model of QFD Matrix What How House of Quality Voice of Customer Tech. Performance Measures Subsystem Design Matrix Piece/Part Characteristics Piece/Part Design Matrix Process Parameters Process Design Matrix Production Operations

Portable Slide Projector Example Customer Needs Good image Easy to transport Keeps present. flowing Image visible in bad conditions Minimizes unplanned interruptions Design makes the product attractive Device sets up quickly Works well for short present. Engineering Metrics Brightness Weight Dimensions (girth + width) Time/Tasks required to start present. Distortion Distance from presenter Time to insert/pull-out slide Attractive product Portable Slide Projector Example

Phase I - Portable Slide Projector

Phase II - Portable Slide Projector

TRANSLATING NEEDS INTO REQUIREMENTS (Kano’s Model) Actual Performance Customer Satisfaction Satisfiers Dissatisfiers Delighters

(Kano’s Model) Expected Quality Dissatisfiers Smooth Surface Scratches, blemishes All parts work Broken parts Clear instruction Missing instruction Normal function Function not provided Product is safe to use Product is unsafe Product conforms to std. Product is nonconformant

(Kano’s Model) Satisfiers: Desired Quality Performance Measure Direction Capacity Cubic feet of storage LargerTB Price Dollars SmallerTB Reliability MTBF Speed Transactions per sec

(Kano’s Model) Examples of Delighters Sony Walkman 3M Post-it Cup Holder One-touch recording Redial button on telephone Graphic User Interface (GUI)

EMPLOYEE INVOLVEMENT MOTIVATION Maslow's Hierarchy of Needs Survival Security Social Esteem Self-actualization Herzberg’s Two-Factor Theory Motivators Dissatisfiers

Achieving a Motivated Work Force Know yourself Know your employees Establish a positive attitude Share the goals Monitor progress Develop interesting work Communicate effectively Celebrate success

EMPLOYEE INVOLVEMENT TOOLS Employee Empowerment Teamwork Suggestion System Recognition and Rewards Profit Sharing Performance Appraisal