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Strategic Quality Management

..30 Contact Hrs. for Class of 2008


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Total Quality Management concepts & understanding


TQM is a philosophy that represents a set of guiding principles that lays the foundation of a continuously improving and customer driven organization
IT IS Encompassing and mobilizing entire organization to satisfy the customer Improving each individual and groups within the organization Integrating the philosophy and practices in day to day approach to work Influencing all product, services, systems, process & technology Long term and continuous and is sensitive to the social responsibilities of the enterprise Supporting High Performance Culture through teamwork, trust & leadership IT IS NOT A program, that has a beginning & an end. It is a continuous journey.
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Prelude To introduction to TQM


Philosophy of integrating market driven focus elements for continuous improvement in all work processes of the enterprise becomes necessary due to: Customer driven market revolution Fierce global competition Unpredictable market, changing expectations & moving targets Need to develop a customer focused culture Integrate market driven culture Focus on quality, cost, productivity Customer loyalty Change Management
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Focus Elements of a Market Driven Enterprise


Commitment to customer satisfaction Human Resource Development Total Quality Culture Error Prevention Philosophy Total Quality Solutions Design & Product Quality Quality Services Quality of Management & Services People Development Productivity, efficiency and effectiveness Process & Technologies for continuous improvement
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History
Craftsmen Early days, generations learning, own inspector. Early 20th CenturyUnskilled repetitive, start of interchangeability. Ford Story. Standardization, concepts for quality, Mass Mfg. Post War.. American Society for Quality 1944, Safety, Public interest
producer beware

Dr. Joseph Juran & Dr. Edward Demming story


Pioneering work in Total Quality, but in Japan Demming returns to US (1980-1993)

Product Quality to Performance Excellence


Quality of Management as important as Management of Quality

American Society for Quality identifies future challenges


Partnering, Learning system, Adaptability and speed of change Environmental Sustainability, Knowledge Focus, Globalization Customization & Differentiation, Shifting Demographics
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Journey to TQM.

TQM
yAll Employees involved yEmpowerment yTeamwork yQuality Strategy

Quality Assurance Quality Control


yQuality Standards yStatistical Controls yProcess Performance yTreat Quality Problems yQuality Systems ISO yQuality Planning yQuality Policy yQuality Controls yProblem Solving

Inspection
yError Detection yRectification yUnhappy Customer

Award Criteria Criteria


Ref: Malcolm Baldrige


Weightage 12% 8% 8% 8% 10% 10% 44%

Leadership Strategic Planning Customer & Market Focus Information & Analysis Human Resources Development & Planning Process Management Business Results

Leadership
Definition

..TQM relevance

Traditional Leadership for Quality Assortment of behaviors vision, hope, stimulation, mission, transformation dreams to reality, stewardship, Integration, courage, communication, consensual, conviction, empowering, deploying, motivating, motivating and tenacity. Executive Leadership-not the only one Changed Business Scenario & New Economy demanding Unit, Team, Project and Transformational Leadership No more the one or few men show Strategic Plan Integration Quality is the key element to strategic planning for Quality management and Performance Excellence under the current business environment Identification of such competitive advantages that is driven by customer and market.

Leadership

..TQM relevance

Effective Leadership Five Core Skills vision, empowerment, intuition, self-understanding & value congruence Leadership Practices Customer Focus, Strategic vision, Quality value Creating sustainable leadership, environment, empowerment, innovate Setting high expectations, demonstrate substantial personal commitment and involvement, missionary zeal and constancy of purpose Integrating quality values in daily values, extensive communication Integrate public responsibility and community support in business practices TQ Leadership Contrasts.. Details Leadership & Public Responsibilities Public Health, safety & environment Compliance Corporate Citizenship, Community education, welfare, conservation Industry Obligation to Community
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TQ Leadership Contrasts
Traditional/Modernists
Plan Projects Make plans Organize resource Preach M.B.O Push Products Lip service to quality Sell to customer Perform R&D Control People Control through systems Reward conformance punish deviation Maintain status QUO

TQ Leaders
Practice Envision the future Optimize the resource Participative management Produce Exemplary quality Service the customer Innovate Motivate people Development, talent & system Reward effort, skill development and empower Continuous improvement
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Award Criteria Criteria


Ref: Malcolm Baldrige


Weightage 12% 8% 8% 8% 10% 10% 44%

Leadership Strategic Planning Customer & Market Focus Information & Analysis Human Resources Development & Planning Process Management Business Results

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Understanding of Criteria
1. Leadership Leadership System.. How the senior leaders guide the company in setting directions and in developing and sustaining an effective leadership system. Company Responsibility & Citizenship How the company addresses the its responsibility to the public and how it practices good citizenship. Strategic Planning Strategy Development Process.. How the company sets strategic directions to better define and strengthen its competitive position and how the development process leads to action plan for deploying and aligning key plan and performance requirements. Company Strategy.. How the performance requirements and measures align with the human resource plan and how the plans project the cos future as compared to the competitors and key benchmarks. Customer & Market Focus Customer & Market Knowledge.. How the company determines the long term requirements and preference of target and potential customers and market and anticipate needs to develop business opportunities . Customer Relationship & Satisfaction Enhancement..How the company determines and enhances the satisfaction of customers to strengthen relationships to improve current offerings and to support customer and market related planning.
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2.

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Understanding of Criteria
4. Information & Analysis Selection & Use of Information & DataHow the co. selects, manages and uses the information and data needed to support key company process and improve the cos performance. Selection & use of comparative information & data.. How the company selects, manages and uses comparative information data to improve cos competitive position. Analysis & Review of Companys Performance..How the co. analyses and reviews overall performance to assess the progress relative to plans to identify key areas of improvement. 5. Human Resources Development & Management Work Systems.. What is the companys work & job design and its compensation and recognition approaches to enable and encourage all employees to contribute effectively to achieve the cos performance and learning objective. Employee Education Training & Development.. How the cos training and education addresses its plan and needs including building knowledge & capabilities & contribute to improved employees performance and development. Employee Well-Being & Satisfaction..How the company maintains its work environment and work climate to support the well-being, satisfaction and motivation of all its employees

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Understanding of Criteria
6. Process Management Management of Product & Service Processes..How the significantly modified and customized products and services are designed. How the product/services delivery systems are designed, implemented and improved. Management of Support Process.. How the cos key support processes are designed, managed and continuously improved. Management of Supplier and Partnering..How the cos supplier and partnering processes, performance and relationships are managed and improved. 7. Business Results Customer Satisfaction Results..How the co. performance on Customer Satisfaction Financial & Market Results.Cos key financial & marketplace performance Human Resource ResultsCos Human Resource results including employee wellbeing, satisfaction, development and work system performance Supplier & Partner ResultsCos supplier and partner results Company-Specific ResultsHow the companys key operational performance and results significantly contribute to key company goals- customer satisfaction, operational effectiveness and financial/market place and performance.
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Strategic Planning
The process of envisioning organizations future and developing necessary procedures and operations to shape and achieve that future Concept Plan that integrates an organizations major goals Policies and actions sequences in alignment and supporting the goals Marshalling and allocating organizations resources into an unique and viable posture Based on ones relative strengths and competencies and anticipated changes in the environment Counter measures and actions anticipating contingent moves by intelligent opponents
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Strategic Planning

Influence of TQ culture

Leading Practices Top management, employees & even customers actively participate in the planning process Systematic planning process for strategy development and deployment including measurement, feedback and review. Gathering and analysis of variety of data external & internal factors Alignment of short-term action plans with long term strategic objectives.
Strategy Development Vision Mission
Guiding Principles
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Environmental Scan

Strategies

Objectives

Action Plans

Strategic Deployment

TQ way

Converting the strategies into small doable goals and then ultimately deployed to the right teams & people in form of SMART objectives Hoshin Kanri or Hoshin Planning Policy Deployment Management by Planning Team based deployment is most suited to TQ environment

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Caliberations
Strategic Planning

What the auditor will look for

Customer & market driven quality integrated into bloodstream Integrated into the product, operations and service processes Operational Excellence to deliver on above

Deployment
Deployment to the right people with smart objectives Organizations ability to translate strategic objective into action plans

Customer Driven Quality TQM way to implement strategy Operational Excellence

TQ aspects include Empowerment Diffused Leadership Institutionalized Learning Innovation and Experimentation
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Customer & Market Integration


Customer Satisfaction
Understanding Business driver

Satisfaction & Loyalty


Attitude & Behaviour Lifetime Value Business Possiblities New acquisition vis--vis retention

Total Benefit Package


No Longer only product or price Opportunities with what can be offered as a package
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Creating a Satisfied Customer


Expected Quality of Product, Services & Delivery Actual Quality of Execution, Information, Communication Perceived Quality
PQ= AQ EQ Resultant Delight or Disgust Case of un-kept promise

Some leading practices


Define key customer groups, markets, competitors, potential customers & segment them Understand short term & long term needs & expectations, employ process for listening Build relationship with customer through commitments & promote trust & confidence, easy accessibility to people & information, effective service standards, train customer contact employees, effective follow up on all transactions Effective complaint management & resolution systems exceeding expectations Measure customer satisfaction compare with competition & use info to improve
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Creating a Satisfied Customer


Identification & Segmentation of Customers
Jurans Vital Few & Useful Many Concept Segmentation based on Geography, Demographic factors, Usage pattern, Volumes Expected levels of service Net Present Value Product Service Performance Reliability Feature Assurance Conformance Tangibles Durability Empathy Serviceability Responsiveness Aesthetics Understanding of the above under the three classes of; Dissatisfiers Satisfiers Exciters/ Delighters Comment cards, Formal surveys, Focus groups, Direct Customer contact, Field Intelligence, Internet monitoring, multi-brand distribution, retail & service partners, Complaint analysis

Understanding Customer Needs

Gathering Customer Information

Information Analysis & Usage for Continuous Improvement


Importance, Impact & performance gap analysis Identification of opportunities Decide measurements Deploy

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Customer & Market Integration Creating a Satisfied Customer

Customer Relationship Marketing

Building of Customer Loyalty by developing Trust Communication Interaction Relationships Moments of Truth
Direct Contact . Phone, letter, product & personnel Problems arising out of un-kept promises Airlines examples (Scandinavian, South-West) * Opportunities during the entire process (ticketing to baggage delivery) Dignity of Customer

Five aspects of CRM


Accessibility & commitments Selecting & developing customer contact employees Relevant customer contact requirements Effective Complaint Management Strategic Partnerships and Alliances
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Customer & Market Integration Creating a Satisfied Customer

Customer Relationship Marketing

Designing Satisfaction Surveys


Determination of purpose Who is the customer Who conducts the survey Choice of survey instrument..written, phone, recording Type of questions asked.. LIKERT scale

* Analysis & usage of Feedback Performance/importance/ Impact Matrix

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TQM

Process Management
Product Processes Support Processes Service Process Supplier & Partnership Processes Managing the Change 3 Contact Classes

Module Covers

Duration

Project

At the end of Module

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TQM

Process Management

New Economy

Online shopping becoming common Frequent Customer Dissatisfaction reported it takes more than just a web site and brand communication

Q Was necessary attention to customer requirements and relevance to process paid? Did the product designers have all the information & data about the customer & environment?
Examples Delhi Road traffic design & management (not so good?) Delhi Metro ( can we say good so far?)

Demming Most quality problems have been due to processes and seldom have they been due to men as normally thought
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TQM
Some leading practices:

Process Management

Translation of customers requirements into product & service design early enough in the process taking into account all linkages between product design requirement, conversion processes, supplier capabilities & legal and environmental considerations. Ensuring that quality is built into the product and services and use proper technologies, qualitative tools and approaches during the developmental process. Product development process manages cross functional communication, reduce time, smooth and uninterrupted introduction of product and process. Define and Document important product, delivery & support processes and manage them as an important business process Define performance requirement for suppliers, partners and relationships Control quality and operational performance, identify significant variations, analyze root- causes, apply corrections and verify results. Continuously improve process Innovate for breakthrough performance improvements through benchmarking and re-engineering.
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TQM Process Management

Product Design Process


Benchmarked Process Idea generation Preliminary Concept Development Product/Process Development Full-Scale production Market introduction Market evaluation Design Approach Considerations
Performance Cost Manufacturability/ Serviceability Facility, suppliers & partners capability & preparedness Safety & environment

CONCEPTUALIZATION

CONVERSION

EXECUTION

Streamlining Design process


Concurrent engineering/simultaneous engineering Reduced Cycle-time Cross Functional involvement

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TQMProcess Management

.Support Processes

Basic Understanding of significant ones;


Human Resources Processes Information Technology Processes Finance & Accounts

Exercise: How the above processes get influenced by TQM culture


Customer Orientation Strategic Fit Cross Functional Alignment Data Analysis Measurement and Controls Continuous Improvement
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.Supplier & Partnership Processes Decentralization & Strategic Outsourcing


TQMProcess Management Adding new dimension to the significance Competency development, Talent retention & cost of ownership Flexibility & Speed to market

Supplier Involvement
Product Development From Design to Delivery Service & Spare parts Bench marking on Technology, Materials, Practices & Designs

Guiding Principles
Realization of the strategic importance of suppliers Developing win-win relationship with suppliers Establishing trust through transparency leading to mutual benefits

Exercise: On customer orientation of suppliers


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TQMProcess Management

.Supplier Partnerships

Jurans Trend in Supplier Relationships


Element Traditional/Adversarial TQM- Teamwork Focus Few/Often Single 3yrs. or more Total Alignment Fit for use Process Capability Joint, Certification Mutual Visits Disclosures & Transparency Mutual Assistance
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No. of suppliers Multiple/Many Duration of suppliers Annual Contracts Quality Criteria Conformance to Specifications Emphasis on Surveys Procedures, Data & systems Quality Planning Separate Pattern of Partnership Arms Length Secrecy Mutual Supervision

TQMProcess Management

.Service Processes

Service Product Design:


Exercise on application of TQM requirement checks On how it can influence the Delivery Process Typical Customer requirement to be converted in product & delivery

How Service Processes are unique


Measurements are not always possible Dealing with softer side of life There is no standard customer

Deliver of Front-end contacts getting influenced by:


Too many things which are beyond his control or influence Physical Facility Professional Judgment Personal Behaviors
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TQM

.Managing Change

Cross Functionalism of TQM New culture demanding on Organizational Change Type of Changes;
Developmental Transitional Transformational

Dissatisfaction with the STATUS QUO


Frog Example the frog cant realize the transition from comfort to danger

Dissatisfaction with the NEW SITUATION


Cross functional attention (apply the product development lense) Live to change in customer & market expectations Quality, cost, productivity & customer delivery focus
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TQM

.Managing Change
Vision communication
Clear, concise & easily understandable Memorable Exciting & inspiring Challenging Excellence centered Stable but flexible Implementable & Tangible

New Model of Managing

Specify Key Success Factors (KSF) Implementation Plan

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TQM

.Managing Change

TEN COMMANDMENTS OF CHANGE


Analyze the organization & its need for change Create a shared vision and common direction Separate from the past Create a sense of urgency Support a strong leader role Line up political sponsorship Graft an implementation plan Develop enabling structures Communicate, involve people & be honest Reinforce & institutionalize the change
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TQM

.Human Resource Development & Management Alignment with the Strategy The competition can copy everything, but for the edge that your people
can create. It is only them who can make 2+2 more than Four Satisfaction, loyalty and commitment of customer possible only through satisfied, loyal & committed employees Only Loyal employees can create Loyal customers

Change of Paradigm
Human Resource Management from Personnel Admin & Management From watch dog to strategic leadership through developing, coaching, training, teamwork, motivation & recognition Traditional versus Total Quality Human Resource Paradigm (table)
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Traditional versus Total Quality Human Resource Paradigm (table) (PLEASE SEE THE WORD DOCUMENT ATTACHED)

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TQMHuman

Resource Development & Management (Linking HR Plans to Business Strategy)

How do the Leading Companys do it; Integrate human resources plans with strategic objectives and action plans to fully address the needs and development of entire workforce Design work and jobs to promote organizational learning, innovation and flexibility for ever changing business needs. Develop effective performance management plans, compensation, reward and recognition approaches to support high performance and motivate employees. Promote cooperation and collaboration through teamwork Empower individuals and teams to make decisions that impact quality and customer satisfaction Make extensive investment in training, education and development Maintain work environment conducive to well-being & growth of all employees Monitor the extent and effectiveness of human resources practices & measure employee satisfaction as a means to continuous improvement.
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TQMHuman

Resource Development & Management (Linking HR Plans to Business Strategy)


Human Resource impacting Business Strategy

Roadmap
Corporate operating principles to provide full opportunity to employees to reach their full potential by developing a high performance culture to support its vision, mission & goals Attract, develop, challenge & retain a diverse workforce to have skills in the organization to build business

Staffing & Development

Involve & empower employees to improve processes & participation in decisions that impact business

Involved Employee

Recognition & Reward

Recognize & reward performance that contribute to the business strategy and goals

Continuous Improvement

Continuously improve those elements of the work environment That enhance employees well-being, satisfaction and productivity 38

TQMHuman

Resource Management

High Performance Work Systems


Work approaches used to systematically pursue ever-higher levels of overall organizational and human performance

Characterized By
Flexibility, innovation, knowledge & skill sharing, alignment with organization directions, customer focus and rapid response to ever changing business needs and market requirements.

Requires
Extensive employee involvement Empowerment Training & Education Teamwork Communication Compensation & Recognition Attention to Employee well-being
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TQMHuman

Resource Management

Job & Work Design


Work design refer to how employee are organized in formal & informal units such as departments & teams Job design refers to responsibilities and tasks assigned to individuals Both are vital to organizational effectiveness & employee satisfaction

Need Must Be Understood


Critical Psychological states Core job characteristics Moderating Variables Outcomes

(Refer Table)

Concept of Job Enrichment


Enlargement/ Enrichment

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Work Design Model

Core Job Characteristics Skill Variety Task Identity Task Significance Autonomy Feedback from job

Critical Psychological States

Outcome

Experienced Meaningfulness of the work Experienced Responsibility of outcome Knowledge of the outcome/results Moderators 1. Knowledge & skill 2. Growth Need Strength 3. Context Satisfaction

High internal work Motivation High growth job Satisfaction High general job Satisfaction High work effectiveness

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TQMHuman

Resource Management

Employee Involvement
Levels of involvement (refer table) Suggestion Scheme Resistance to EI

Empowerment
Sincere belief and trust in people Leaders and managers relinquish some authority New responsibilities of managers Building of confidence

Training & Education


TQ demands heavy investment in Training & Education Generally includes quality awareness, leadership, project management, communication, teamwork, problem solving, interpretation & analysis of data, meeting customers requirements, process analysis and simplification, waste reduction, cycle time reduction, error- proofing Measure Effectiveness of Training
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List of Employee Involvement


LEVEL
Information Sharing Dialogue Special Problem Solving Intra Group Problem Solving Inter Group Problem Solving Focused Problem Solving Limited Self Direction Total Self Direction

ACTION
Managers decide and inform employees Managers get input and then decide Managers assign one time problems to selected employees Intact groups meet weekly to solve local problems Cross functional teams meet to solve mutual problems Intact groups deepen daily involvement in a specific issue Teams at selected sites function full time with minimum supervision Executives facilitates self management in an all team company

PRIMARY OUTCOME
Conformance Acceptance Contribution Commitment Cooperation Concentration Accountability Ownership
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TQMHuman

Resource Management

Compensation .salary & wages


Production incentive Department incentive Non-production incentive Indirect incentive

Recognition & Reward


Individual & team awards Involving everyone Measurable objectives- Quality, Cost, Productivity, Delivery Publicize Extensively Make it a fun

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TQMHuman

Resource Management

Teamwork
Quality circles Problem solving teams Management teams Work teams ..self managed teams Project teams Virtual teams . Boundary Less

Success Factors
Team goal clarity Improvement plan Clarity of role/definition Clarity of communication Decision procedures Clear ground rules Information access
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TQMHR Management

Development The Changing Nature with TQM

Behavioral Influence
Horizontal job enlargement Vertical job enlargement/enrichment Job Rotation

Contemporary Trends
Job flexibility Responsibility & empowerment Training & development Teamwork Hourly rates/ daily rates/ monthly rates Piece rates- generally detrimental to quality Incentives Profit sharing

Compensation

Work Measurements.. Time and motion study


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Measurements and Continuous Improvement


Performance Measurement
Traditionally many companies have almost entirely depended upon the financial sand operational efficiencies and productivity. Unfortunately many of these are inaccurate and lack focus on quality and hence drive wrong behaviors

Balance score Card Concept


Translates strategy into measures that uniquely communicate the version to the organization and ensure behaviors suited and aligned to desired improvement

Financial Measures
Shareholders returns, Profitability, revenue growth, ROI, EVA

Internal Measures
Quality levels, Productivity, Cycle time, Costs, etc.

Customers perspective
Service levels, Customers Satisfaction, repeat Business etc

Innovation & Learning Perspective


Employee Sat, market innovation, intellectual Capital, skills development

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Measurements & Continuous Improvement ( contd.) Two Segments of measure


Leading Measures Projections of what is likely to happen and the measures driving the behaviors and improvements Lagging measures Results of what has already happened and would provide opportunities for analysis and correction

Performance excellence Model


Encourages grouping of performance measure into following five sets
1. 2. 3. 4. 5. Customer Financial and Market Human resources Supplier & partnership performance Organizational Effectiveness

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Measurements of quality (Products & Processes)


Cost of Quality model
Traditional Model Conformance costs
Prevention cost Appraisal

Non Conformance
Internal External failures

Challenges
Quality costs do not appear in the accounting ledger There is a considerable time delay between costs and results Accounting rules do not put quality on the credit side Numerous estimates to be made There are considerable hidden costs Behavior of cost elements during implementation of TQM
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Limitations of Cost of Quality Model


Does not resolve quality problem Communication of COQ does not simulate cost reduction Report does not specify action Do not capture all costs COQ is of little use for evaluating quality programme Some important costs are eliminated and not reflected Delays between cost and effect Subjected at times to judgments and estimates Tendency to be short term

Concept of Return to quality (ROQ) model


Examples of training & Development
Introduction of prevention for Market Returns
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Measurements & Continuous Improvement


Market Driven Quality Model
Three Major Components
Setting of Initiatives A system of quality measurement Process Reviews Target;Central objective is around defect elimination (SIX- SIGMA)Key

Quality Measures in a Benchmarked Co


Customer Related Percent Shipping, Warehouse Errors, Return Cycle Time Product Quality Measures PPM defects (internal/external), Life test results Process Quality Measures Cycle Time, Rework at various stages, Final Yield Supplier Performance Measures PPM defective, Purity Level, Test Results Organizational Effectiveness Measures Cost of Conformance, Cost of nonconformance & COQ
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Business Performance Measures & Indicators


Perceived Value

Customer

Overall satisfaction Complaints Gains & Losses of Customer Customer awards & satisfaction

Financial
Business Performance

Return of equity Return of Investment Operating profit

Financial & Market Market

Earnings per share

Market share % new product sales Absenteeism Turn over Training effectiveness Grievances Suggestion Rates Employee Satisfaction

Human Resource
Supplier & Partner
Quality & Delivery Price & cost saving

Organizational Effectives

Defects & errors Productivity Cycle time Regulatory & legal compliance New product introductions Community Service 53 Safety Environment

Closing of Gaps . Between final output & the expectations and needs of

the customers. Addressed through either continuous improvement, breakthroughs, or a combination of both Application of the two, not only relevant to quality improvements but also to general management Concept of foolproofing or POKAYOKE.

Types of data
Numeric or quantitative Categorical or qualitative.

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TQM Continuous Improvement


.Basic Tools
Flow Charts Cause & Effect Diagrams Fish bone diagrams or Ishikawa Diagrams Numeric Data Summarization Measures of location Mean & Median Measures of Spread Standard Deviation, Variance, Range& Percentiles Graphic relationship between two variables Scatter Diagrams

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Tabular & Graphic Summarization of data


Tabular:
1.Frequency distribution 2.Proportions 3.Absolute Frequencies 4.Relative frequencies 5.Cumulative Distributions
(The above are used for both qualitative as well as quantitative)
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Graphic:
1. Qualitative 1. Tally sheets 2. Location plots 3. Bar charts 4. Paired bar charts 5. Pie charts 6. Pareto diagrams 2. Quantitative 1. Tally sheets 2. Histograms 3. Stem & leaf 4. Run charts
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Continuous Improvement Basic Tools

Seven Steps to Continuous Improvement


(PDCA or Shewhart Cycle)

Select a problem and describe it clearly Study the present system Identify the possible causes Plan and implement a solution Evaluate Effects Standardize the effective solution Reflect on process and develop future plans. PLAN DO CHECK ACT

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STATISTICAL PROCESS CONTROL (SPC)


Methodology
1. Prepare Choose the variable or attribute to be measured Determine the basis, size and frequency of sampling Set up the control chart

2. 3. 4. 5. 6.

Data Collection Determination of trial control limits Analysis and Interpretation use as a problem solving Use the chart for process capability analysis
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X R Charts
__ X = Xi -------- ; i=1 to k k __ __ __ X = Xi -------- ; i=1 to k k __ R=Range; R= Ri -------- ; i=1 to k k

Normal Distribution Curve NDC with different Mean and identical different standard deviation
Sample
50 40 30 20 10 0

NDC with identical Mean and standard deviation


Population
60 50 40 30 20 10 0 0 2 4 6 8 10

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Difference between Run- Charts and Control Charts Variable Control Charts
UCL u LCL

STATE OF CONTROL OUT OF PROCESS CONTROL Seven continuous above or below mean Six consecutive increasing or decreasing Two consecutive points in outer quartile
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CONTROL CHARTS FOR ATTRIBUTES P Chart Proportion defective in a sample C Chart Nos. defective in a sample RANGE CHART (R) __ __ LCL = D3R UCL = D4R __ R = u R/ K K= No. of samples; R = Range of Each Sample; D3 & D4 = Table Constants

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MEAN CHART (X) __ __ __ __ X = x1+x2+x3 ---------------__ __ K UCL = x + A2 R __ __ LCL = X A2R

A2 = Tabular Constant

USING X bar R CHART TOGETHER

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