Total Quality Management Quality Systems ISO Malcolm Maldrige National Quality Awards Six Sigma by: Aimee D. Cabantac

Total Quality Management Quality Systems ISO Malcolm Maldrige National Quality Awards Six Sigma by: Aimee D. Cabantac

Total Quality Management Quality Systems ISO Malcolm Maldrige National Quality Awards Six Sigma by: Aimee D. Cabantac

ISO Environment Management Standard Launched in 1996 A series of standards that enables a company to improve environmental management voluntarily A guide for environmentally concious companies to lessen their impact on the environment

Benefits of ISO Minimized the harmful effects on the environment caused by it's activities Achieved continual improvements of it's environment performance Improved corporate image among regulator's customers and the public Reduced raw material/resource use Reduced energy consumption Improved process efficiency Reduced waste generation and disposal cost utlization of recoverable resources

2 Main Classifications of ISO Organization/Process Oriented Standards Product Oriented Standards

6 Topic Areas of ISO Evironmental Management System Environmental Performance Evaluation Environmental Auditing Life Cycle Assessment Environmental Labeling Environmental Aspects in Product Standards

ISO Process-Oriented Document Requirements ISO ISO ISO ISO ISO ISO ISO ISO ISO ISO 14021

ISO Product-Oriented Document Requirements ISO ISO ISO14024 ISO 1402X ISO ISO14041 ISO14042 ISO ISO ISO Guide 64

The Malcolm Baldrige National Quality Award Established in 1987 by United State Congress Named after former US Sec. of Defense ( ) Sets national standard for quality excellence (ASQ)

Important Factors in any Organization Productivity Quality Safety Cost

Core Values and Concept Visionary leadership Customer-driven excellence Organizational and personal learning Valuing employees and partners Agility Focus on the future Managing for innovation Management by fact Social responsibility Focus on results and creating value System perspective

The Award is open to the ff. Areas: Telecommunications Banking Automotive Hospitality industry Building products Manufacturing Education Health Care

System of Qualification 1. application 2. examination of an applicant 3. qualificationsof each examiner are compared and contrast with the criteria and up to 300 hours 4. site visit stage – a comp. /org. may have been examined for as many as 1000 hours 5. winner proclamation – the information is non-proprietary with US organization of all kinds, but practices are communicated and shared

Benchmarking – is a continuous process of measuring products, services and practices against competitors or industry leaders. Baselining – is measuring the current level of quality in an organization.

Malcolm Baldrige National Quality Award Criteria Categories, Leadership 1.1 Senior Leadership 1.2 Governanace and Social Responsibility 2.0 Strategic Planning 2.1 Strategy Development 2.2 Strategy Deployment 3.0 Customer and Market Focus 3.1 Customer and Market Knowledge 3.2 Customer relationships and Satisfactions 4.0 Measurement, Analysis and Knowledge Management 4.1 Measurement, Analysis and Improvement of Organizational Performance 4.2 Management of Information Technology and Knowledge

Malcolm Baldrige National Quality Award Criteria Categories, Human Resources Focus 5.1 Workforce Engagement 5.2 Workforce Environment 6.0 Process Management 6.1 Work Systems Design 6.2 Work Process Management and Improvemen 7.0 Results 7.1 Product and Service Outcomes 7.2 Customer-Focused Outcomes 7.3 Financial and Market Outcomes 7.4 Workforce-Focused Outcomes 7.5 Process Effecctiveness Outcomes 7.6 Leadership Outcomes

What is expected after? Increased the value an organization provides to its customer and stakeholders. Improved communication,collaboration, empowerment, commitment and trust among its employees. Improved the organization public image with a commensurate increase in customer confidence

The Six Sigma Is a business management strategy originally developed by Engr. Bill Smith of Motorola, USA in 1981 A process in which % of products manufactured are free of defects. Is about results. Its focus is to do the right things right. Is based on knowledge.

Six Sigma Assessments improved quality + efficiency = Profitability customer knowledge + core process improvements efforts = improvement in company sales and revenue growth Need to have a holistic view on reliabilty and quality, and then developed a strategy for improving both.

Six Sigma Assessments Increase in complexity of systems and products = creation of higher-than-desired system failure rates Solution: to increase reliability and reduced failure rates the components in complex systems and products have to have individual failure rates approaching zero.

Training Typically Required for Greenbelt Certification Quality Philosophies Performance Measures/Metrics Problem Solving Process Mapping Check Sheets Pareto Analysis Cause-and-Effect Diagram Analysis Scatter Diagram Frequency Diagram Histograms

Training Typically Required for Greenbelt Certification Statistics Data Collection: Data types andsampling techniques X and R Charts Process Capability Analysis P, u, c charts Root Cause Analysis Variation Reduction Six Sigma Philosophy Greenbelt Project

Training Typically Required for Black Belt Certification Variables Control Charts Process Capability Analysis Hypothesis Testing Design of Experiments Gage R&R Reliability ISO 9000, MBNQA Attribute Control Charts Voice of Customer: Quality Function Deployment Regression Analysis Black Belt Project

Master Blackbelt Individuals with extensive training who have a large scale improvement project, usually say $1,000,000 Must a master degree from accredited university is a requirement Provides training and guides trainees during their projects Mentors, teachers, coaches and explorers

Six Sigma Responsibility Matrix Responsibilty Phase Management Recognize Mngt./Master BlackbeltDefine Black Belts/ Green BeltsMeasure Black Belts/ Green BeltsAnalyze Black Belts/ Green BeltsImprove Black Belts/ Green BeltsControl Management Standardize Management Integrate

8 Essential Phases of Six Sigma Projects Recognize Define Measure Analyze Improve Control Standardized Integrate

The Six Sigma Problem Solving Steps Define - Plan Measure - Plan Analyze - Plan Improve - Do Control- Study - Act

Benefits of Six Sigma Better understading of their key business process and its process flow improvement (reduced cycle time, elimination of defects, increased capacity and productivity rate) Improvements reduce cost and waste while increasing product and service reliability Improved value for the customer mproved performance for the company

Criticisms Does not offer anything new Limited only to large firm Costly to implement Focus is on defective per million

Mathematical Designation Of Six Sigma Cp = USL-LSL 6σ When 6σ = USL – LSL Cp = 1 When this happens, the process is considered to be operating at Three Sigma (3σ) 3 Standard Deviation should be added to ave. value in both sides

3 Sigma Presentation LSLTarget USL

6σ < USL-LSL EX. 25% Design margin Cp = = 4 Sigma = 4 standard deviation should be added to ave. value will equal to USL; 4 SD should be subtracted from the ave. value will equal to LSL The concept can be repeated for 5 Sigma. Cp = 1.66

When Cp = 2 2 = 6 Sigma Six SD added to ave. value will equal to USL; Six SD subtracted to ave. value will equal to LSL This provides adequate protection against the possibilities of aprocess mean shift or in increase in variation.

6 Sigma Presentation LSL Target USL

Comparison of Six Sigma Performance to other Sigmas

Comparison of ISO, MBNQA, Quality Engieneers and Six Sigma

Standard Deviation Summarizes how far the average values typically are. This measure is related to mean but gives equal importance to all. (When the standard deviation is small, it shows that the average distance between the scores and the mean is small and vice versa) S = √‾s²