Lec#6 Project Quality Management Total Quality Management Ghazala Amin

2 Quality Gurus Deming, Juran, Crosby

3 Quality Experts Deming was famous for his work in rebuilding Japan and his 14 Points for Management. Juran wrote the Quality Control Handbook and ten steps to quality improvement. Crosby wrote Quality is Free and suggested that organizations strive for zero defects. Ishikawa developed the concepts of quality circles and fishbone diagrams. Taguchi developed methods for optimizing the process of engineering experimentation. Feigenbaum developed the concept of total quality control.

4 Deming’s quality plan for management Approximately around timeframe Poor quality is because, management is preoccupied with “today” rather than worrying about future. 85% quality problems require management initiative to change process, only 15% can be controlled by the workers on the floor. Example: poor quality of raw material result in low quality product due to management’s decision to procure low cost bid. So, improved quality needs change in purchasing policy and procedures. Common cause of quality issues; –Low quality raw material, poor design, unsuitable work condition, equipment cannot meet design tolerances etc. Deming believed in ceasing mass inspections and ending awards based on price

5 Deming’s Cycle for Improvement ActPlan CheckDo Objectives Methods Train Execute Against Objectives How methods are executed Immediate remedies Future Actions

6 Deming’s 14 Points for Management 1. Create constancy of purpose for improvement of product and service. 2. Adopt the new philosophy. 3. Cease dependence on inspection to achieve quality. 4. End the practice of awarding business on the basis of price tag alone. Instead, minimize total cost by working with a single supplier. 5. Improve constantly and forever every process for planning, production, and service. 6. Institute training on the job. 7. Adopt and institute leadership. 8. Drive out fear. 9. Break down barriers between staff areas. 10. Eliminate slogans, exhortations, and targets for the work force. 11. Eliminate numerical quotas for the workforce and numerical goals for management. 12. Remove barriers that rob people of workmanship. Eliminate the annual rating or merit system. 13. Institute a vigorous program of education and self-improvement for everyone. 14. Put everybody in the company to work to accomplish the transformation.

7 Dr. Juran's Quality Philosophy Juran Trilogy (Approximately 1954 in Japan ): –Quality Improvement, Planning & Control Manufacturer Vs. Customer views: –Adherence to Specs Vs. Fitness for Use Legal Implications of Quality: –Criminal, Civil, Appropriate Corporate Actions and Warranties Juran’s definition of quality believed in product’s fitness for use

8 Juran’s 10 steps to Quality Improvement 1. Build awareness of the need and opportunity for improvement. 2. Set goals for improvement. 3. Organize to reach the goals (establish a quality council, identify problems, select projects, appoint teams, designate facilitators). 4. Provide training. 5. Carry out projects to solve problems. 6. Report progress. 7. Give recognition. 8. Communicate results. 9. Keep score or keep track. 10. Maintain momentum by making annual improvement part of the regular systems and processes of the company.

9 Crosby’s Four Absolutes of Quality Quality means conformance to requirements Quality comes from prevention Quality means that the performance standard is “zero defects” Quality is measured by the cost of non- conformance Crosby believed that “zero defects” in a product is achievable

10 Crosby’s 14 steps to Quality Improvement 1. Make it clear that management is committed to quality. 2. Form quality improvement teams with representatives from each department. 3. Determine where current and potential quality problems lie. 4. Evaluate the cost of quality and explain its use as a management tool. 5. Raise the quality awareness and personal concern of all employees. 6. Take actions to correct problems identified through previous steps. 7. Establish a committee for the zero-defects program. 8. Train supervisors to actively carry out their part of the quality improvement program. 9. Hold a “zero-defects day” to let all employees realize that there has been a change. 10. Encourage individuals to establish improvement goals for themselves and their groups. 11. Encourage employees to communicate to management the obstacles they face in attaining their improvement goals. 12. Recognize and appreciate those who participate. 13. Establish quality councils to communicate on a regular basis. 14. Do it all over again to emphasize that the quality improvement program never ends.

11 Concepts of Project Quality Management

12 Do the Right Thing Right the First Time (DTRTRTFT) Implies that it is easier and less costly to do the work right the first time than it is to do it the second time. Entails the training of personnel to ensure sufficient skills and tools to correctly complete the work.

13 Continuous Improvement Process (CIP) A concept which recognizes that the world is constantly changing and any process that is satisfactory today may well be unsatisfactory tomorrow. A sustained, gradual change to improve the situation. Rather than manage the output of the project, the focus is on managing the total process and sub processes. The process is held constant only after it has been proven capable of the work. Hence, the product naturally meets the requirements.

14 Continuous Improvement Represents continual improvement of process & customer satisfaction Involves all operations & work units Other names –Kaizen (Japanese) –Zero-defects –Six sigma © T/Maker Co.

15 Continuous Improvement Process (CIP) CIP’s four steps: –Define and standardize processes (and sub processes). –Assess process performance. –Improve processes. –Measure progress.

16 Zero Defects Implies that there is no tolerance for errors within the system. The goal of all processes is to avoid defects in the product or service. Similar to six sigma: almost zero defects

17 The Customer is the Next Person in the Process The internal organization has a system that ensures the product or service is transferred to the next person in the process in a complete and correct manner. The product or service being built is transferred to another internal party only after it meets all the specifications and all actions at the current work station. Avoids incorrectly assembled components and poor workmanship.

18 Quality Circles Group of 6-12 employees from same work area Meet regularly to solve work-related problems –4 hours/month Facilitator trains & helps with meetings © 1995 Corel Corp.

19 Resolving Customer Complaints Best Practices Make it easy for clients to complain Respond quickly to complaints Resolve complaints on the first contact Use computers to manage complaints Recruit the best for customer service jobs

20 Just-in-Time (JIT) Relationship to quality: –JIT cuts cost of quality –JIT improves quality –Better quality means less inventory and better, easier-to-employ JIT system

21 Just-in-Time (JIT) ‘Pull’ system of production/purchasing –Customer starts production with an order Involves ‘vendor partnership programs’ to improve quality of purchased items Reduces all inventory levels –Inventory hides process & material problems Improves process & product quality

22 Just-In-Time (JIT) Example Scrap Work in process inventory level (hides problems) Unreliable Vendors Capacity Imbalances

23 Just-In-Time (JIT) Example Scrap Reducing inventory reveals problems so they can be solved. Unreliable Vendors Capacity Imbalances