1 DSCI 3123 Quality Management and SQC Outline Quality Control –Definition of Quality –Commonly Used Terms –TQM –Seven QC tools –Variance reduction –Control Charts

2 DSCI 3123 Definition of Quality Fitness for use - J.M. Juran Conformance to requirements- P.B. Crosby Meets expectations of the customer- A. Feigenbaum The totality of features and characteristics of a product or service that bear on its ability to satisfy given needs - ANSI/ASQC

3 DSCI 3123 Terms Commonly Used Statistical Quality Control TQM Design of experiments Control Charts Deming’s 14 points ISO 9000 Certification

4 DSCI 3123 Deming Overall philosophy embodied in 14 points Promoted employee empowerment Encouraged worker training Developed PDCA Cycle –Plan –Do –Check –Act 1. Plan 2. Do 3. Check 4. Act

5 DSCI 3123 TQM Initiated by Feigenbaum, Total Quality Control Idea reflecting total organizational commitment to quality Referred to as continuous quality improvement Total Quality Management today Buzz-word all over Corporate America

6 DSCI 3123 TQM Principles Customer defines quality Top management must lead effort View quality as a strategic issue Quality is everyone’s responsibility Focus on continuous quality improvement Employees/Management must cooperate to establish quality Use Statistical quality control methods Training and education are fundamental to all the above

7 DSCI 3123 Seven QC Tools Flowcharts - i.e., how a process flows a yes no

8 DSCI 3123 Seven QC Tools Pareto Diagrams - measures the distribution of quality losses ABCDEABCDE 61% 4%5% 13% 17% % ERRORS

9 DSCI 3123 Seven QC Tools Histograms - a graphic summary of dispersion Number | | | | Suggested Mean Length

10 DSCI 3123 Seven QC Tools Scatter Diagrams - depict relationships between paired data Number | | | | Linear Relationship - possible high r value

11 DSCI 3123 Seven QC Tools Cause and Effect Diagram Product Quality Order Fulfillment Service Distribution System Order Processing System Customers are dissatisfied

12 DSCI 3123 Seven QC Tools Run Charts –Run charts are used to detect trends or patterns –Same model as scatter plots Control Charts –Run charts turn into control charts –One of the single most effective quality control devices for managers and employees

13 DSCI 3123 Control Chart Periodic tracking of a process Common types –Xbar, R or range, p or percent nonconforming Elements of a control chart –upper control limit (UCL), the highest value a process should produce –central line (Xbar), the average value of consecutive samples –lower control limit (LCL), the lowest value a process should produce

14 DSCI 3123 Control Charts - Xbar Shows average outputs of a process UCL LCL Central line- Xbar Scale

15 DSCI 3123 Control Charts - R Shows the uniformity/dispersion of the process UCL LCL Central line- Rbar Scale