ABCQ CQIA 2006 Instructor

7/21/2019 ABCQ CQIA 2006 Instructor

1/489

QUALITY COUNCIL OF INDIANACQIA 2006

INTRO-1 (1)

THEQUALITY IMPROVEMENT

ASSOCIATE PRIMER

Second Edition - June, 2006

by Quality Council of Indiana - All Rights Reserved

Bill WortmanQuality Council of Indiana602 West Paris AvenueWest Terre Haute, IN 47885

TEL: (812) 533-4215FAX: (812) [email protected]://www.qualitycouncil.com

008


2/489


INTRO-5 (2)

CQIA Primer Contents

I. CERTIFICATION OVERVIEW . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . I-1CQIA EXAM . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . I-3CQIA BODY OF KNOWLEDGE . . . . . . . . . . . . . . . . . . . . . . . . . . I-7

II. QUALITY CONCEPTS . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . II-1QUALITY DEFINITIONS . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . II-2

QUALITY DEFINED . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . II-3ORGANIZATIONAL QUALITY STEPS . . . . . . . . . . . . . . . . . . II-4QUALITY TERMS . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . II-7

QUALITY PLANNING . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . II-12QUALITY PRINCIPLES . . . . . . . . . . . . . . . . . . . . . . . . . . . . . II-14QUALITY POLICIES . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . II-15STRATEGIC QUALITY GOALS . . . . . . . . . . . . . . . . . . . . . . . II-16TACTICAL QUALITY GOALS . . . . . . . . . . . . . . . . . . . . . . . . II-17QUALITY MATURITY . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . II-18

IMPORTANCE OF EMPLOYEES . . . . . . . . . . . . . . . . . . . . . . . . II-20INDIVIDUAL INVOLVEMENT . . . . . . . . . . . . . . . . . . . . . . . . II-20

EMPLOYEE EMPOWERMENT . . . . . . . . . . . . . . . . . . . . . . . II-21QUALITY OF WORK LIFE . . . . . . . . . . . . . . . . . . . . . . . . . . . II-23

SYSTEMS AND PROCESSES . . . . . . . . . . . . . . . . . . . . . . . . . II-25VARIATION . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . II-31

SYSTEM VARIATION . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . II-31SPECIAL VS COMMON CAUSE . . . . . . . . . . . . . . . . . . . . . . II-33

SOURCES OF VARIABILITY . . . . . . . . . . . . . . . . . . . . . . . . . II-35REFERENCES . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . II-37

III. QUALITY BENEFITS & PHILOSOPHIES . . . . . . . . . . . . . . . . . III-1BENEFITS OF QUALITY . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . III-2

STAKEHOLDER GROUPS . . . . . . . . . . . . . . . . . . . . . . . . . . III-2STAKEHOLDER QUALITY BENEFITS . . . . . . . . . . . . . . . . . III-4

MBNQA . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . III-7QUALITY PHILOSOPHIES . . . . . . . . . . . . . . . . . . . . . . . . . . . . . III-9

PHILIP CROSBY . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . III-9W. EDWARDS DEMING . . . . . . . . . . . . . . . . . . . . . . . . . . . III-16JOSEPH M. JURAN . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . III-28COMPARISONS . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . III-36

REFERENCES . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . III-40


3/489


INTRO-5 (3)

IV. TEAM ROLES & RESPONSIBILITIES . . . . . . . . . . . . . . . . . . . . IV-1TEAM PURPOSES . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . IV-2TEAM BENEFITS . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . IV-3

TYPES OF TEAMS . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . IV-4SYNOPSIS OF TEAM APPLICATIONS . . . . . . . . . . . . . . . . . IV-7

ROLES AND RESPONSIBILITIES . . . . . . . . . . . . . . . . . . . . . . . IV-8

SPONSOR/CHAMPION ROLE . . . . . . . . . . . . . . . . . . . . . . . IV-9LEADER ROLE . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . IV-9FACILITATOR ROLE . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . IV-10TEAM MEMBER ROLE . . . . . . . . . . . . . . . . . . . . . . . . . . . . IV-12

MEASUREMENT OF PERFORMANCE . . . . . . . . . . . . . . . . . IV-13REFERENCES . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . IV-16

V. TEAM FORMATION & DYNAMICS . . . . . . . . . . . . . . . . . . . . . . . . . V-1INITIATING TEAMS . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . V-2

TEAM BUILDING . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . V-3TEAM ACTIVITIES . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . V-4TEAM CHARTER . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . V-6TEAM GUIDELINES . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . V-7

TEAM MEETING STRUCTURE . . . . . . . . . . . . . . . . . . . . . . . . V-8REWARD & RECOGNITION . . . . . . . . . . . . . . . . . . . . . . . . . V-10

SELECTING TEAM MEMBERS . . . . . . . . . . . . . . . . . . . . . . . . . V-12TEAM SIZE . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . V-12TEAM DIVERSITY . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . V-13

TEAM STAGES . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . V-14TEAM BARRIERS . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . V-17

COMMON TEAM PROBLEMS . . . . . . . . . . . . . . . . . . . . . . . . V-18GROUPTHINK . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . V-19CONFLICT RESOLUTION . . . . . . . . . . . . . . . . . . . . . . . . . . . V-21

DECISION MAKING . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . V-24REFERENCES . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . V-26

VI. CONTINUOUS IMPROVEMENT . . . . . . . . . . . . . . . . . . . . . . . . . VI-1INCREMENTAL & BREAKTHROUGH . . . . . . . . . . . . . . . . . . . . VI-2

INCREMENTAL IMPROVEMENT . . . . . . . . . . . . . . . . . . . . . VI-3BREAKTHROUGH IMPROVEMENT . . . . . . . . . . . . . . . . . . . VI-4REENGINEERING . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . VI-5SIX SIGMA . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . VI-6KAIZEN . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . VI-8

NON-VALUED-ADDED ACTIVITIES . . . . . . . . . . . . . . . . . . . VII-9


4/489


INTRO-5 (4)

MISTAKE PROOFING . . . . . . . . . . . . . . . . . . . . . . . . . . . . . VI-11CYCLE TIME REDUCTION . . . . . . . . . . . . . . . . . . . . . . . . . VI-12CONCURRENT ACTIVITIES . . . . . . . . . . . . . . . . . . . . . . . . VI-14

IMPROVEMENT CYCLES (PDCA/(PDSA) . . . . . . . . . . . . . . . VI-15PROBLEM SOLVING PROCESSES . . . . . . . . . . . . . . . . . . . . VII-17

CLASSICAL STEPS . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . VII-18

DMAIC . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . VII-20ROOT CAUSE ANALYSIS . . . . . . . . . . . . . . . . . . . . . . . . . . VII-23

IMPROVEMENT BARRIERS . . . . . . . . . . . . . . . . . . . . . . . . . . VI-25REFERENCES . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . VI-25

VII. BASIC QUALITY TOOLS . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . VII-1

CAUSE-AND-EFFECT DIAGRAMS . . . . . . . . . . . . . . . . . . . . . . VII-2FLOW CHARTS . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . VII-4DATA TYPES . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . VII-7CHECK SHEETS . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . VII-8HISTOGRAMS . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . VII-11PARETO DIAGRAMS . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . VII-16SCATTER DIAGRAMS . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . VII-20

CONTROL CHARTS . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . VII-24VARIABLES . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . VII-27ATTRIBUTES . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . VII-35INTERPRETATION . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . VII-43

REFERENCES . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . VII-50

VIII. QUALITY MANAGEMENT TOOLS . . . . . . . . . . . . . . . . . . . . . VIII-1

BRAINSTORMING . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . VIII-2AFFINITY DIAGRAMS . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . VIII-3BENCHMARKING . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . VIII-5QUALITY COSTS . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . VIII-8

COST CATEGORIES . . . . . . . . . . . . . . . . . . . . . . . . . . . . . VIII-10

COST IMPROVEMENT . . . . . . . . . . . . . . . . . . . . . . . . . . . VIII-15COST BASES . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . VIII-16

QUALITY AUDITS . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . VIII-21TYPES OF AUDITS . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . VIII-22AUDIT RESPONSIBILITIES . . . . . . . . . . . . . . . . . . . . . . . . VIII-27AUDIT PREPARATION/EXECUTION . . . . . . . . . . . . . . . . VIII-29AUDIT REPORT . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . VIII-30AUDIT TERMS . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . VIII-31

REFERENCES . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . VIII-34


5/489


INTRO-5 (5)

IX. CUSTOMER-SUPPLIER RELATIONSHIPS . . . . . . . . . . . . . . . . IX-1INTERNAL CUSTOMERS . . . . . . . . . . . . . . . . . . . . . . . . . . . . . IX-2INTERNAL CUSTOMER FEEDBACK . . . . . . . . . . . . . . . . . . . . IX-6

EXTERNAL CUSTOMERS . . . . . . . . . . . . . . . . . . . . . . . . . . . . . IX-7CUSTOMER EXPECTATIONS . . . . . . . . . . . . . . . . . . . . . . IX-11CUSTOMER NEEDS . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . IX-12

CUSTOMER SATISFACTION . . . . . . . . . . . . . . . . . . . . . . . IX-14CUSTOMER SERVICE PRINCIPLES . . . . . . . . . . . . . . . . . IX-15QUALITY FUNCTION DEPLOYMENT . . . . . . . . . . . . . . . . . IX-20

EXTERNAL CUSTOMER FEEDBACK . . . . . . . . . . . . . . . . . . . IX-25INTERNAL SUPPLIERS . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . IX-31INTERNAL SUPPLIER FEEDBACK . . . . . . . . . . . . . . . . . . . . IX-32

EXTERNAL SUPPLIERS . . . . . . . . . . . . . . . . . . . . . . . . . . . . . IX-33SUPPLIER RATINGS . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . IX-35SUPPLIER COMMUNICATIONS . . . . . . . . . . . . . . . . . . . . . IX-36SUPPLIER CERTIFICATION . . . . . . . . . . . . . . . . . . . . . . . . IX-42

EXTERNAL SUPPLIER FEEDBACK . . . . . . . . . . . . . . . . . . . . IX-44REFERENCES . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . IX-48

X. APPENDIX . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . X-1INDEX . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . X-3ANSWERS . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . X-17


6/489


INTRO-6 (6)

CQIA Primer Question Contents

Primer SectionQuestions

% Exam Primer CD

I. Certification Overview

II. Quality Concepts 13% 13 52 130

III. Quality Benefits &Philosophies

12% 12 48 120

IV. Team Roles &Responsibilities

9% 9 36 90

V. Team Formation &Dynamics

16% 16 64 160

VI. Continuous Improvement 12% 12 48 120

VII. Basic Quality Tools 13% 13 52 130

VIII. Quality Management Tools 13% 13 52 130

IX. Customer-SupplierRelationships

12% 12 48 120

Total 100% 100 400 1000

Comparison B/T the CQIA Primer & ASQs BOK

Primer II III IV V VI VII VIII IX

ASQBOK

I.A

I.B & C

II.A & B

II.C

III.A, B & C

III.D

III.D

III.E


7/489


I. CERTIFICATION OVERVIEW

I-1 (7)

I KNOW OF NO MORE ENCOURAGINGFACT THAN THE UNQUESTIONABLEABILITY OF MAN TO ELEVATE HISLIFE BY A CONSCIOUS ENDEAVOR.

HENRY DAVID THOREAU

Professionalizing Quality Education


8/489



I-2 (8)

Preface

This text is designed to provide quality professionalswith a review of fundamental knowledge and skills. It isalso intended to be a Primer for those interested intaking the certification examination offered twice a yearby the American Society for Quality.

Test questions are provided at the end of each Section.The majority of these questions were created by theauthor and QCI associates. Some questions are derivedfrom ASQ certification brochures and modifiedpublished examinations. These test questions andanswers must be removed if this text is to be used as areference during a certification examination. They areprinted on blue paper for easy distinction.


9/489



I-3 (9)

Certified Quality ImprovementAssociate Exam

Objective

To provide recognized fundamental quality trainingand to prepare persons interested in taking the CQIA

examination. ASQ believes that this knowledge willhelp advance the use of quality tools throughoutorganizations.

Certification

Certification is the independently verified prescribed

level of knowledge as defined through a combinationof experience, education and examination.

The Certified Quality Improvement Associate

The CQIA examination is designed to assess basicknowledge of quality tools and their uses byindividuals who are involved in quality improvement

projects, but do not necessarily come from traditionalquality areas. This program is in response to therapid spread of quality principles and practicesthroughout organizations, and covers the basics ofquality at a fundamental level in a way that is notexclusively addressed in any of the existingcertification exams.


10/489



I-3 (10)

CQIA Exam (Continued)

Eligibility

CQIA participants must register with ASQheadquarters. Eligibility is two years of general workexperience or at least an Associates Degree from a

post-secondary school.

Cost

The national test fee is determined by ASQ and isdetailed in the CQIA brochure.

Location

Proctors are provided by local ASQ Sections.

Duration

The test lasts three hours and will begin at an advisedtime (typically 8:00 or 9:00 A.M.)


11/489



I-4 (11)


Other Details

Additional information can be obtained from ASQ at1-800-248-1946 or downloaded from the ASQ web site.

Bibliography Sources

The reference sources cited in the CQIA brochure areexcellent. The authors recommend the followingreferences in approximately the order presented:

(1) Quality Dictionary

(2) The Team Handbook, 2nd ed.

(3) The Quality Improvement Handbook

(4) The CQIA Handbook

(5) The Management and Control of Quality, 4th ed.

(6) Total Quality Management, 2nd ed.

(7) Quality Management, Introduction to Total QualityManagement for Production, Processing, andServices, 3rd ed.

(8) Jurans Quality Handbook, 5th ed.


12/489



I-5 (12)


Study

The authors recommend that this Primer be taught bya qualified CQE, CQA, CMQ/OE or CQIA usingclassroom lecture, study assignments and a review oftest questions. Training may vary from 20 hours to 40hours. Additionally, the student should spend about50 hours of individual study on the Primer, testquestions, and other bibliography sources. If thestudent studies unaided, a minimum of 80 hours ofpreparation is suggested.

Exam Hints

The CQIA applicant should take into the exam:

C Several #2 pencilsC A calculatorC The CQIA Primer (without test questions)C Any other selected bibliography sourcesC

Scratch paper


13/489



I-5 (13)


Exam Hints (Continued)

Arrive early, get a good seat, and organize materials.

Answer all questions. There's no penalty for wrong

answers.

Save difficult questions until the end.

Use good time management. If there are 100questions, and the exam lasts 3 hours, a student mustaverage 1.8 minutes/question.

Some tests begin with difficult questions, avoid panic.

Keep test question numbers and the answer sheetaligned.

Bring any exam errata to the proctor's attention.

Mentally note weakness categories in case you haveto take the exam again. ASQ will report only flagrantareas.


14/489



I-7 (14)

CQIA Body of Knowledge

I. Quality Basics (25 Questions)

A. Terms, Concepts, and Principles

1. Quality (Apply)

Define and know how to use this term correctly.

2. Quality planning (Understand)

Understand a quality plan and its purpose for theorganization as a whole and who in theorganization contributes to its development.

3. The importance of employees (Understand)

Understand employee involvement and employeeempowerment, and understand the benefits ofboth concepts; distinguish between involvementand empowerment.


15/489



I-7 (15)

CQIA BOK (Continued)

4. Systems and processes (Analyze)

Define a system and a process; distinguishbetween a system and a process; understand theinterrelationship between process and system;

and know how the components of a system(supplier, input, process, output, customer, andfeedback) impact the system as a whole.

5. Variation (Understand)

Understand the concept of variation and commonand special cause variation.

B. Benefits of Quality (Understand)

Understand how improved process, product and/orservice quality will benefit any function, area of anorganization, or industry. Understand how eachstakeholder (e.g., employees, organization,

customers, suppliers, community) benefits fromquality and how the benefits may differ for eachtype of stakeholder.


16/489



I-8 (16)


C. Quality Philosophies (Remember)

Understand each of these philosophies and howthey differ from one another.

1. Deming (14 points)

2. Juran (Trilogy)

3. Crosby (Zero defects)

II. Teams (25 Questions)

A. Understanding Teams

1. Purpose (Apply)

Understand the definition of a team, when to usea team and for how long.

2. Characteristics and types (Apply)

Recognize characteristics and types of teams andhow they are structured; know how teams differand how they are similar; know which type ofteam to use in a given situation.


17/489



I-8 (17)


3. Value (Understand)

Understand how a teams work relates to theorganizations key strategies and the value ofusing different types of teams.

B. Roles and Responsibilities (Understand)

Identify major team roles and the attributes of goodrole performance for champions, sponsors, leaders,facilitators, timekeepers, and members.

C. Team Formation and Group Dynamics

1. Initiating teams (Apply)

Apply the elements of launching a team: clearpurpose, goals, commitment, ground rules,schedules, support from management, and teamempowerment.

2. Selecting team members (Apply)

Know how to select team members who haveappropriate skill sets and knowledge (e.g.,number of members, expertise, andrepresentation).


18/489



I-9 (18)


3. Team stages (Understand)

Describe the classic stages of team evolution(forming, storming, norming, and performing).

4. Team barriers (Analyze)

Understand the value of conflict, know how toresolve team conflict, define and recognizegroupthink and how to overcome it, understandhow poor logistics and agendas as well as lack oftraining become barriers to a team.

5. Decision making (Apply)

Understand and apply different decision models(voting, consensus, etc.).


19/489



I-9 (19)


III. Continuous Improvement (50 Questions)

A. Incremental and Breakthrough Improvement(Understand)

Understand how process improvement can identifywaste and non-value-added activities. Understandhow both incremental and breakthroughimprovement processes achieve results. Know thesteps required for both types of improvement.Recognize which type of improvement approach isbeing used in specific situations. Know thesimilarities and differences between the twoapproaches.

B. Improvement Cycles (Analyze)

Define various improvement cycle phases (e.g.,PDCA, PDSA) and use them appropriately.

C. Problem Solving Process (Apply)

Apply the basic problem solving steps: understandthe problem, determine the root cause,develop/implement solutions and verifyeffectiveness.


20/489



I-10 (20)


D. Improvement Tools (Apply)

Use, interpret, and explain flowcharts, histograms,Pareto charts, scatter diagrams, run charts, causeand effect diagrams, checklists (check sheets),

affinity diagrams, cost of quality, benchmarking,brainstorming, and audits as improvement tools.Understand control chart concepts (e.g.,centerlines, control limits, out-of-controlconditions), and recognize when control chartsshould be used.

E. Customer-Supplier Relationships

1. Internal and external customers (Understand)

Know how customers are defined. Understand theimportance of working with customers to improveprocesses and services, and how customersinfluence organizational processes. Know how to

distinguish between different external customertypes (consumers and end-users).


21/489



I-10 (21)


2. Customer feedback (Understand)

Know the different types of customer feedback(e.g., surveys, complaints) and understand thevalue in using the data to drive continuous

improvement activities.

3. Internal and external suppliers (Understand)

Understand the value in communicatingexpectations and the impact of supplierperformance. Understand the value of workingwith suppliers to improve products, processes, orservices.

4. Supplier feedback (Understand)

Know the different types of supplier feedback(e.g., surveys, complaints, ratings) andunderstand the value in using the data to drive

continuous improvement activities.


22/489



I-12 (22)

Levels of CognitionBased on Blooms Taxonomy

In addition to content specifics, the subtext for eachtopic in this BOK also indicates the intended complexitylevelof the test questions for that topic. These levelsare based on Levels of Cognition (from Blooms

Taxonomy - Revised, 2001) and are presented below inrank order, from least complex to most complex.

Remember (Knowledge Level)

Recall or recognize terms, definitions, facts, ideas,materials, patterns, sequences, methods, principles,

etc.

Understand (Comprehension Level)

Read and understand descriptions, communications,reports, tables, diagrams, directions, regulations, etc.

Apply (Application Level)

Know when and how to use ideas, procedures,methods, formulas, principles, theories, etc.


23/489



I-12 (23)

Levels of Cognition (Continued)

Analyze (Analysis Level)

Break down information into its constituent parts andrecognize their relationship to one another and howthey are organized; identify sublevel factors or salient

data from a complex scenario.

Evaluate (Evaluation Level)

Make judgments about the value of proposed ideas,solutions, etc., by comparing the proposal to specificcriteria or standards.

Create (Synthesis Level)

Put parts or elements together in such a way as toreveal a pattern or structure not clearly there before;identify which data or information from a complex setis appropriate to examine further or from whichsupported conclusions can be drawn.


24/489


II. QUALITY CONCEPTS

II-1 (24)

QUALITY IS ABOUT PASSIONAND PRIDE

T. J. PETERS/N. AUSTIN (1986)


25/489


II. QUALITY CONCEPTSQUALITY DEFINITIONS

II-2 (25)

Quality Concepts

Quality Concepts (Basics) are presented in the followingtopic areas:

C Quality definitions

C Quality planningC Importance of employees

C Systems and processes

C Variation


26/489



II-2 (26)

Quality Defined

Some definitions of quality include:

C Dr. W. Edwards Deming (1986) said that Qualitycontrol does not mean achieving perfection. It

means the efficient production of quality that themarket expects.

C Dr. Joseph M. Juran (1992) defines quality asFitness for use.

C Philip Crosby (1979) defines quality asConformance to requirements.

C The American Society for Quality defines quality asThe totality of features and characteristics of aproduct that bear on its ability to satisfy a givenneed.


27/489



II-3 (27)

Determinants of Quality

Listed below are some of the attributes and descriptorsthat consumers associate with quality:

Products Services

Performance ReliabilityFeatures ResponsivenessReliability CompetenceConformance Access/CourtesyDurability CommunicationServiceability CredibilityAesthetics Security/Safety

Perceived quality Knowing the customer


28/489



II-4 (28)

Organizational Quality Steps

For Total Quality to succeed in an organization, astructured process should be used. According to Juran(1992), the process should include:

C

A Quality CouncilC Quality PoliciesC Strategic Quality GoalsC Deployment of Quality GoalsC Resources for ControlC Measurement of PerformanceC Quality Audits


29/489



II-7 (29)

Quality Terms

The following terms and definitions are pertinent tounderstanding and communicating quality.

Attribute A characteristic or property that is

appraised in terms of whether itdoes or does not exist, with respectto a given requirement.

Audit Standard An authentic description of essentialcharacteristics of audits whichreflects current thought andpractice.

Capability The ability to perform designatedactivities and to achieve resultswhich fulfill specified requirements.


30/489



II-7 (30)

Quality Terms (Continued)

Corrective Action An action taken to eliminate thecauses of an existing nonconformity,defect or other undesirable situation,to prevent recurrence.

Defect The nonfulfillment of intended usagerequirements. The departure orabsence of one or more qualitycharacteristics from intended usagerequirements.

Documentation The use of documentary evidence;

the documents used.

Inspection The p ro ce ss o f me asu r in g,examining, testing, gaging orotherwise comparing a unit withrequirements.


31/489



II-8 (31)


Instructions Detailed, written, or spokendirections given in regard to what isto be done.

Lot A definite quantity of a product ormaterial accumulated underconditions that are considereduniform for sampling purposes.

Nonconformity A d e p a r t u r e o f a q u a l i t ycharacteristic from its intended levelor state that occurs with a severity

sufficient to cause an associatedproduct or service not to meet aspecification requirement.

Objective Information which can be verified,Evidence based on facts and obtained through

observation, measurement, or test.


32/489



II-9 (32)


Preventive Action An action taken to eliminate thecauses of a potential nonconformity,defect or other undesirable situation,to prevent occurrence.

Procedure A specified written way to performan activity.

Process A set of interrelated resources andactivities which transform inputsinto outputs with the aim of addingvalue.

Product The result of activities or processes.A product can be tangible orintangible, or a combination of both.


33/489



II-10 (33)


Quality The totali ty of features andcharacteristics of a product orservice that bear on its ability tosatisfy given needs.

Quality All those planned or systematicAssurance actions necessary to provide

adequate confidence that a productor service will satisfy given needs.

Quality Audit A systematic and independentexamination to determine whether

quality activities and related resultscomply with planned arrangementsand whether these arrangements areimplemented effectively and aresuitable to achieve objectives.


34/489



II-10 (34)


Quality Control The operational techniques andactivities which sustain a quality ofproduct or service that will satisfygiven needs; also the use of such

techniques and activities.

Quality The actions taken to increase theImprovement value to the customer by improving

the effectiveness and efficiency ofprocesses and activities throughoutthe organizational structure.

Quality The totality of functions involved inManagement the determination and achievement

of quality.

Quality Manual A document stating the qualitypolicy and describing the qualitysystem of an organization.


35/489



II-11 (35)


Quality Planning Establishing and developing theobjectives and requirements forquality and the requirements for thequality system application.

Quality Policy The overall quality intentions anddirection of an organizationregarding quality, as formallyexpressed by top management.

Record A document which furnishesobjective evidence of activities

performed or of results achieved.


36/489



II-11 (36)


Reliability The probability that an item willperform its intended function for aspecified interval under statedconditions.

Rework T h e a c t io n t a ke n o n anonconforming item so that it willfulfill the originally specifiedrequirements.

Sample A group of units or observationstaken from a larger collection of

units or observations that serves toprovide an information basis formaking a decision concerning thelarger quantity.

System Several components (or processes)integrated together to perform a

function.


37/489


II. QUALITY CONCEPTSQUALITY PLANNING

II-12 (37)

Strategic Planning

A short outline of the strategic planning process shouldinclude the following:

Develop a company vision and purpose statement

Review previously gathered environmental data

Consider corporate strengths and weakness

Make assumptions about outside factors

Establish appropriate goals

Develop strategic and tacticalimplementation steps

Evaluate performance to goals

Reevaluate the above steps for perpetual use


38/489



II-12 (38)

DEVELOP THE SPECIFIC TACTICS

DEVELOP BROAD STRATEGIC OBJECTIVES

DEVELOP THE GUIDING PRINCIPLES

DEVELOP THE MISSION

DEVELOP THE VISION

Strategic Planning (Continued)

The traditional specific strategic planning steps(adapted from Goetsch, 2000) include:


39/489



II-13 (39)

The Quality Plan

Quality planning, at the highest level of the organization,will provide more recognition and commitment to thequality effort. Quality planning at the strategic level canbe described as strategic quality planning.

Quality Planning is:

A systematic process for defining the methodsneeded to meet the requirements for a particularproduct, process, or standard.

Quality can be addressed by a organization in their

vision or mission statements. In most cases, one ormore quality elements will be included as guidingprinciples. Often these principles are formalized intoone or more quality policies.


40/489



II-14 (40)

Quality Principles

The term principles means a basic foundation ofbeliefs, truths, etc., upon which others are based. Onemethod for the leaders of an organization to gain thetruth, would be to study the literature of the quality

gurus.

Information and materials on the Malcolm BaldrigeNational Quality Award and ISO 9001 will also be ofbenefit.

The integration of study with Quality Council(Management steering committee) involvement will

result in a collective philosophy about quality.

Some commonly quality principle statements include:

Total dedication to the customer (Ciampa, 1992)

Quality must be built into each design and each

process. It cannot be created through inspection.

(Ishikawa, 1985)


41/489



II-14 (41)

Quality Principles (Continued)

An organizations principles may stress some of thefollowing points:

Customer satisfaction is a key

Defects must be prevented

Manufacturing assumes responsibility for quality

The process must be controlled

Everyone participates in quality

Quality is designed into the product

Total quality is a group activity


42/489



II-15 (42)

Quality Policies

A quality policy represents the overall quality intentionsand direction of an organization regarding quality, asformally expressed by top management.

Quality policies often include several of the followingthoughts:

The only acceptable level of defects is zero

We will meet or exceed customer expectations

Defective products will not be shipped

We will build a relationship with our suppliers toensure a quality product

We will engage in a revolutionary rate of qualityimprovement


43/489



II-15 (43)

Quality Policies (Continued)

Quality policies are often developed by top managementin order to link together policies among all departments.

A quality policy set by the top management will ensure

that a systems approach will be undertaken.

To carry the quality policy down the organization, eachindividual department can also develop its own qualitypolicy. The quality policy should support the overallcorporate policy. The department quality policy willallow each department to personalize the message.


44/489



II-16 (44)

Strategic Quality Goals

Quality goals of a strategic nature, become a part of thestrategic business plan.

The quality goals are specific, quantified, and

scheduled. We will achieve 99% ratings from all of ourdesignated customers by August, 2006 would fit astrategic quality goal definition.

Quality goals may be linked to product performance,service performance, customer satisfaction, qualityimprovement, or quality costs.


45/489



II-16 (45)

Strategic Quality Goals (Continued)

Strategic quality goals cut across many departmentsand address issues that are applicable organizationwide. The following are examples:

Company vision, mission statement, quality policy

Shared Total Quality philosophy

Effects of quality systems...ISO, MBNQA

Emergence of new competitors

Highlights of new quality techniques and tools

Field intelligence on the competition


46/489



II-16 (46)

Strategic Planning Elements and Timing

Purpose Output Time Frames

Direction

Vision(s)

Mission

Strategic Focus Critical Success Factors

10 - 20 Years

Open ended

5 Years 3 - Years

Expectations(Measurables)

Business Objectives

Performance Goals

5 - 10 Years

1 - 5 Years

Action

Strategies

Tactics

Budgets

Performance Plans

1 - 5 Years

1 - 3 Years

1 - 3 Years

3 - 12 Months


47/489



II-17 (47)

Tactical Quality Goals

Tactical quality goals are the many detailed subgoalsthat are derived from strategic quality goals.

Status of customer complaints, returns, warranty

claims

Results of customer surveys, mailings

In-house scrap, rework, defective rates

Supplier ratings, deliveries

Examples of some departmental quality tactical goalscould be:

We will reduce the response time of ourdepartmental laboratory testing from 5 days to 1day.

We will reduce total quality costs by 7 percentduring the next financial period.


48/489



II-18 (48)

Quality Maturity Development

Strategic or long term quality plans and objectives maybe grouped into stages of developmental maturity of thequality system.

Listed below are some steps in order of advancingmaturity:

Inspection, appraisal and detection stage

Process control and prevention stage

A solid quality system in place

Conformance with external quality systemrequirements

Voluntary product compliance goals

Total quality management

Malcolm Baldrige National Quality Award

World class quality


49/489


II. QUALITY CONCEPTSIMPORTANCE OF EMPLOYEES

II-20 (49)

Introduction

Management has the responsibility of setting the tonefor organizational empowerment. The purpose of thisaction is to engage the entire workforce in the activity ofmaking things better. The need for continuous

improvement includes: productivity, cost containment,product and service quality, customer treatment, andrespect for all employees of the company.


50/489



II-20 (50)

Individual Involvement

A successful organization motivates its employees atevery level and gets the most out of their investment.Although there are many motivational theories, no oneapproach is applicable for all situations.

People have different levels of needs. All people can'tbe motivated by the same set formula. Often, anorganization and its employees have different goals. Acompany which treats its employees as individuals andshows a sincere desire in individual development,stands the best chance of benefitting the most fromemployee involvement.

A recognition system, both monetary as well as non-monetary, is essential.


51/489



II-20 (51)

Individual Involvement (Continued)

Involvement is the act of engaging a participant. Itimplies some professional, personal or emotionalattachment.

Involving the employees in the operations of thecompany and allowing them to contribute more thantheir muscle to the success of the company, is veryimportant. There is a need to tap the creativity andknowledge of all of the employees for the mutual benefitof the company.

A level of trust and honesty must be evident so that

employees work to help satisfy the customer. Oneapproach includes treating all employees as partners inthe business.


52/489



II-21 (52)

Employee Empowerment

Organizations find that with empowerment, solutions arebetter, decisions have better acceptance, andperformance is increased. French (1999) provides thefollowing definition of empowerment:

To empower is to give someone power, which isdone by giving individuals the authority to makedecisions, to contribute their ideas, to exert influence,and to be responsible.


53/489



II-21 (53)

Employee Empowerment (Continued)

Goetsch (2000) points out that empowerment isemployee involvement that matters. The employeeshave authority and responsibility to make thingshappen. Some of the methods to increase participation

and involvement include:

Quality circles Team building Survey feedback

Culture audit

Autonomous work groups

Quality of work life programs Search conferences

Open-book management

(French, 1999)


54/489



II-21 (54)

Barriers To Empowerment

The resistance to a change to empowerment comesfrom several sources:

Employees (another management program that will

go away)

Unions (long distrust and suspicion of managementmotives)

Management (lack of commitment, training, values,or insecurity)

Middle management (first and middle levelmanagers are not involved)


55/489



II-22 (55)

Erasing Barriers To Empowerment

Senior management has to do a better job in erasing thebarriers to empowerment through:

Providing more support

Providing training

Being facilitators

Being role models

Managing by walking around

Responding quickly to recommendations

Recognizing employee accomplishments

(Goetsch, 2000)


56/489



II-22 (56)

0

10

20

30

40

50

60

70

80

90

100

INFORMATIONSHARING

OPINIONSURVEYS

EMPLOYEETRAINING

SUGGESTIONSYSTEMS

TASK FORCECOMMITTEES

PROBLEMSOLVINGTEAMS

KAIZENCI TEAMS

SELF MANAGEDPLANT DESIGN

AWARENESS

UNDERSTANDING

SUPPORT

COMMITMENT

OWNERSHIP

EMPOWERMENTIMPACT

PROGRESSIVE APPROACHES

SELFREGULATINGWORK TEAMS

Organizational Empowerment

Organizational empowerment generally consists ofsteps or stages. Very few companies would attempt toadvance from employee awareness directly to employeeownership.

Organizational Empowerment Steps


57/489



II-23 (57)

Quality of Work Life Initiatives

It is through providing a better work environment viaempowerment that the quality of work life can beimproved. Empowerment activities at some companiescan be comprised of job redesign to reduce or enhance

the work experience. The various job designapproaches include:

Job Simplification

Job Rotation

Job Enlargement

Job Enrichment(Schermerhorn, 1993)


58/489



II-23 (58)

Job Simplification

Job simplification employs standardized workprocedures with narrow job scopes and highlyspecialized tasks. The jobs are easier to learn andrequire less employee skills. The responsibilities and

opportunities for individual decision making areminimized. Employees can be bored with their work,become unhappy, have higher turnover, and performpoorly.

Job Rotation

Job rotation consists of moving employees among jobsinvolving different functions or skills. The content ofeach task can vary from each other, helping to broadenemployees understanding of other jobs and linkages tothe company. Employees can be included in thescheduling effort for involvement.


59/489



II-23 (59)

Job Enlargement

The concept of job enlargement is to combine relatedjobs and assign them to one employee. The employeewill have a larger job by having more varied taskelements.

Job Enrichment

In this job design, jobs that are boring or lack contentare given elements that will satisfy and enrich theemployee. That is, more responsibilities are added tothe job. Perhaps this could include elements of

planning, evaluating options, making decisions, or teambuilding.


60/489



II-24 (60)

Job Enrichment (Continued)

Methods to recognize if a job is in need of enrichmentopportunities:

Skill variety: a variety of tasks, types of skills,

number of skills needed

Task identify: ability to do the complete job or justportions of it

Task significance: the impact of the job on the firm

Autonomy: freedom from supervision, ability to

schedule ones own work

Job feedback: can a person see the direct results oftheir work?


61/489



II-24 (61)

Job Enrichment (Continued)

A manager can enhance his/her ability to useempowerment concepts in normal work activities.Among the various concepts the manager can use are:

Involving people in making their own workassignments

Encouraging others to obtain the results of workassignments

Providing an environment of cooperation andinformation sharing

Sharing the ownership of results

Encouraging others to take initiative in theworkplace

Allowing others to make decisions and solve their

own problems

Letting others implement their ideas

Recognizing successes and contributors(Schermerhorn, 1993)


62/489


II. QUALITY CONCEPTSSYSTEMS AND PROCESSES

II-25 (62)

Systems

From an organizational standpoint, a system is definedas a series of actions, activities, elements, components,departments, or processes that work together for adefinite purpose.

System effectiveness is a measure of the degree towhich a system can be expected to achieve a set ofspecific (mission) requirements, that may be expressedas a function of performance (availability, dependabilityand capability).

SubsystemsSubsystems are major divisions of a system that are stilllarge enough to consist of more than one process.


63/489



II-25 (63)

Processes

Processes are definable portions of a system orsubsystem that consists of a number of individualelements, actions, or steps. Omdahl (1997) defines aprocess as a set of interrelated resources and activities

which transform inputs into outputs with the objectiveof adding value.


64/489



II-25 (64)

PROCESS 1

PROCESS 2

PROCESS 3

PROCESS 4

PROCESS 5

INPUTS

DATA

IDEAS

ORDERS

SPECS

MONEY

NEEDS

OTHERS

OUTPUTS

PRODUCTS

SERVICES

REMEDIES

DESIGNS

SOLUTIONS

TRAINING

OTHERS

FEEDBACK

CUSTOMERSSUPPLIERS

FEEDBACK

A Hypothetical System Schematic


65/489



II-26 (65)

OBTA IN CQIA

BODY OF KNOWLEDGE

DIVIDE B OK

INTO THREE

SEGMENTS

AUTHOR A AUTHOR B AUTHOR C

REWRITE

OK

DESIGNADVERTISEMENT

& FLYER

IDENTIFYTA B

NAMES

OK

PLACEORDER

OK

PLACE

TA B

ORDER

OK

TYPIST

MATERIAL

OK

COMPLETED

TEXT

COMPLETED

PRIMER

SELL PRIMER

DESIGN

BINDER

OK

PLACE

BINDER

ORDER

OK

NO

YES

YES

YES YES

NO

NO

NO

NO

YES

EDITOR

YESNO

NO

System Flow Chart


66/489



II-27 (66)

Process Documentation

The activities relative to any process of importance,should be documented and controlled.

When required by customers, by ISO registrars, or by

good manufacturing practices, procedures and simplework instructions are used to detail repetitive activities.A procedure includes details such as who and whereand a work instruction expands the procedure to includehow and when.


67/489



II-27 (67)

Written Procedures

A procedure is a document that specifies the way toperform an activity. For most operations, a procedurecan be created in advance by the appropriateindividual(s). Consider the situation where a process

exists, but has not been documented. The procedureshould be developed by those responsible for theprocess. Some procedures may be developed by thequality department for use by other operatingdepartments. Generally, these departments provideinput. A procedure for the control of nonconformingmaterial is presented in the Primer.


68/489



II-29 (68)

Work Instructions

Procedures describe the process at a general level,while work instructions provide details and a step-by-step sequence of activities. Flow charts may be usedwith work instructions to show relationships of process

steps. Controlled copies of work instructions are keptin the area where the activities are performed.

Some discretion is required in writing work instructions,so that the level of detail included is appropriate for thebackground, experience, and skills of the personnel thatwould typically be using them. Typically, the people thatperform the activities described in the work instruction

should be involved in its creation. The wording andterminology used should also match that used by thepersonnel performing the tasks.

A work instruction example and flow chart are presentedin the Primer.


69/489


II. QUALITY CONCEPTSVARIATION

II-31 (69)

Key Variation Considerations

When investigating variation, there are situations wherespecial or assignable causes must be addressed. Inmany of these cases, workers and floor levelsupervisors can make corrections.

There are situations where common or chance causescan be improved by a variety of activities. These systemchanges are the responsibility of management.

There are situations where people (both managementand workers) make the situation worse by tweaking itand, thus, widen the natural variation in a process.


70/489



II-31 (70)

System Variation

Variation is seldom considered a vital or strategicmanagement issue but it should be.

In understanding variation, the difference between

common and special causes must be resolved.

Common causes occur in most processes and mayproduce a system that is stable and predicable inoutcome.

Deming felt that 94% of all process problems are due tocommon cause variation. Usually a decrease in

common cause variation will require correctivemanagement action.

Fundamental changes in the process are necessary toreduce or remove the common causes. This meanschanging equipment, machinery, methods, materials, orother factors related to the process.


71/489



II-32 (71)

CASE 1NO ADJUSTMENT

CASE 2ADJUST TO TARGET

CASE 3OVER ADJUSTFOR WINDAGE

CASE 4

JUST LIKE THE LAST

THE SYSTEM IS STABLE ABOUT 40% MORE VARIATIONTHAN CASE 1

DEMING CALLEDTHIS CASE THEMILKY WAY

System Variation (Continued)

One of the best ways to illustrate what happens when astable system is inappropriately adjusted is the Nelsonfunnel.

LIFEEXAMPLES

WORKERS TWEAKING THE MACHINE

MANAGERS TAMPERING WITH WORKER PERFORMANCE

LIFE LIFEEXAMPLES EXAMPLES

US TAX WORKER TRAINING POLICY WORKER

SOME USING PAINT CORPORATE MATCHES FROM RIGHT SIZING PRIOR RUN

SOME CORPORATE CULTURES

Nelson Funnel Illustrations


72/489



II-33 (72)

SCRAPRATE

TIME

SCRAP

RATE

TIME

Special Versus Common Cause

An important consideration, on the road to processimprovement, is the differentiation between special andcommon causes.

Special Cause Example

Common Cause Example


73/489



II-34 (73)

Process Centering

In some situations savings can be realized by simplycentering the process. Equally as important, if theprocess spread can be tightly controlled, a company cansometimes save a considerable amount of money by

purposely skewing the centering of the process.


74/489



II-34 (74)

Specification

Rejected

Material

Rejected

Material

Specification

Rejected

Material

Rejected

Material

Process Centering (Continued)


75/489



II-35 (75)

Sources of Variability

Absolutely everything on earth varies if one measures itclosely enough. The data can be either quantitative(numbers) or qualitative (counts). All data will vary!


76/489



II-36 (76)

Within Lot Variation Lot-to-Lot Variation

Within Stream Variation Stream-to-Stream Variation

Minus

Minus

Within Time Variation Time-to-Time Variation

Within Piece Variation Piece-to-Piece Variation

Inherent Process VariationError of Measurement

Equipment Human

Process Spread

Minus

Minus

Minus

Sources of Variability (Continued)


77/489


II. QUALITY CONCEPTSQUESTIONS

II-39 (77)

2.2. Without prior approval, an employee spent $500 of company moneyto purchase a device that simplifies work flow in his area. This is anexample of:

a. Management lack of controlb. Worker wastec. Employee empowermentd. Employee involvement

2. 7. The "quality function" of a company is best described as:

a. The degree to which the company product conforms to a design orspecification

b. That collection of activities through which "fitness for use" isachieved

c. The degree to which a class or category of product possessessatisfaction for people generally

d. Where the quality department fits in the organizational chart

2. 9. The purpose of a quality manual is to:

a. Provide a basis for every quality decisionb. Standardize the methods and decisions of a departmentc. Optimize company performance and the effectiveness of the quality

departmentd. Make it possible to handle every situation in exactly the same manner

Answers: 2.2. c, 2.7. b, 2.9. c


78/489



II-40 (78)

2.13. In planning for quality, an important consideration at the start is:

a. The relation of the total cost of quality to the net salesb. The establishment of a company quality policy or objectivec. Deciding precisely how much money is to be spentd. The selling of the quality program to top management

2.14. The company has a good SPC program in manufacturing, however,a customer has a product failure in his hands. The cause was a

result of changing vendors. This would be a/an:

a. Vendor cause problemb. Common causec. Assignable caused. Bad inspection procedure

2.19. Any process of importance or complexity should have:

a. A written documented procedureb. An established measurement of nonconforming productc. A method of achieving corrective actiond. A connection to the organization's mission statement

Answers: 2.13. b, 2.14. c, 2.19. a


79/489



II-41 (79)

2.23. A work instruction does NOT give information about which one of thefollowing?

a. The steps necessary to perform certain workb. Which specifications are applicablec. The identity of the person who does the workd. Normal set-up information

2.28. Which of the following descriptors is LEAST likely to apply to service

quality?

a. Reliabilityb. Attractivenessc. Responsivenessd. Competency

2.30. Consider the following statements about processes and systems.Which statement would be most correct?

a. Processes are generally smaller in scope than subsystemsb. Input is required for processes but not for systemsc. A product or service can be the input data for a processd. Only the end customer can provide effective process feedback

Answers: 2.23. c, 2.28. b, 2.30. a


80/489



II-42 (80)

2.35. Which of the following quality planning process elements would beLEAST likely to be measured?

a. Strategic quality goalsb. Tactical quality plansc. Quality mission statementsd. Short-term quality goals

2.36. A twenty year veteran of the paint dip line explained to a rookie that

the only way to get consistent thickness is to adjust the speed basedon the last piece checked. This technique will have what effect onprocess variation?

a. Minimize itb. Reduce itc. No effectd. Increase it

2.40. Assigning an individual to assume the combined duties of what wereformerly several different, but related, jobs is an example of:

a. Job enrichmentb. Job rotationc. Job enlargementd. Job simplification

Answers: 2.35. c, 2.36. d, 2.40. c


81/489



II-43 (81)

2.43. The authoritative act of documenting compliance with agreedrequirements is known as:

a. Objective evidenceb. Certificationc. Sampling pland. Quality control

2.44. A "failure to meet the specified requirement, supported by evidence"

is best described as a:

a. Discrepancyb. Reworkc. Characteristicd. Deviation

2.45. Which of the following statements regarding systems is NOT true?

a. Flow charts are required for all proceduresb. A work instruction expands upon a procedure to include "how" and

"when"c. A process transforms inputs into outputs with the objective of adding

valued. A procedure includes details such as "who" and "where"

Answers: 2.43. b, 2.44. a, 2.45. a


82/489



II-44 (82)

2.49. Which document details specific quality practices, resources, andsequences of activities to ensure that customer requirements, needs,and expectations are met?

a. Tactical planb. Control planc. Quality pland. Strategic plan

2.51. A key to management understanding the system variation is theirability to distinguish the difference between:

a. Material and non-material errorsb. Common and special causesc. Environmental and procedural influencesd. Routine and special processes

2.52. In many situations, the easiest means to achieve savings byminimizing rejected material is:

a. Process centeringb. Control chartingc. Kaizend. Seiri

Answers: 2.49. c, 2.51. b, 2.52. a


83/489


III. QUALITY BENEFITS AND PHILOSOPHIES

III-1 (83)

OUR PLANS MISCARRYBECAUSE THEY HAVE NO AIM.

WHEN A MAN DOES NOTKNOW WHAT HARBOR HE ISMAKING FOR, NO WIND IS THERIGHT WIND.

SENECA (4BC - AD65)


84/489


III. QUALITY BENEFITS AND PHILOSOPHIESBENEFITS OF QUALITY

III-2 (84)

Quality Benefits and Philosophies

Quality Benefits and Philosophies is presented in thefollowing topic areas:

C Benefits of quality

C Quality philosophies


85/489



III-2 (85)

Stakeholder Groups

Many organizational activities require stakeholdersupport. This includes allocation of people, resources,money, and time to assure success.

The relevant stakeholders are those parties or groupsthat have an interest in the welfare and operation of thecompany. These stakeholders include: stockholders,customers, suppliers, company management,employees and their families, the community andsociety.


86/489



III-2 (86)

SUPPLIERS

CUS

TOMERS

Company Stakeholder Interactivity

SOCIETY

STOCKHOLDERS OR OWNERS

INTERNAL COMPANY

PROCESSES

MANAGEMENTAND EMPLOYEES

Communication within the entire stakeholder communityis channeled through internal company processes.


87/489



III-3 (87)

Aligning Goals With Stakeholder Needs

Stockholders benefit from successful ventures becauseof the increased revenue and profits generated.

Management and employees have a vested interest in

continuing their source of income, recognition, andenrichment through such activities as new products,processes, construction or services.

Suppliers gain through the increased sales andrelationships with the company.

The benefits to the customer include the use of the new

product, facility, or service, and the assumption that thecompletion of the activity will further progress towardtheir own corporate or personal objectives.


88/489



III-4 (88)

Supplier Quality Benefits

A greater opportunity to build long termrelationships

Potential training in areas that are mutually

beneficial

A greater likelihood of shared beneficial information

Synergy with the customer in technical areas

Association with an end product with a goodreputation

A customer that can more clearly staterequirements

More predictability and certainty of future orders

More predictability in scheduling and shipping

Financially viable customers for services orproducts


89/489



III-4 (89)

Community Quality Benefits

Organizations that are able to expand and providejobs

Organizations which pay property taxes

Safe products for the user or consumer

Organizations that enhance neighborhood propertyvalues

Organizations that engender community pride

Organizations that practice good business ethics

Organizations and products that protect publichealth

Products that make more efficient use of allresources

Products that are more energy efficient

Organizations that utilize environmentally friendlymethods


90/489



III-5 (90)

Employees Quality Benefits

Job security

Better likelihood of pay increases

Enhancement of knowledge and skills

More prestige

Improved products or services

Predictability in work assignments

Reduced cycle times which improves workflows

More respect from company management and peers

Fewer departmental confrontations anddisagreements

Better communications and information flow

More valuable company information

Potentially a more environmentally friendly place to

work

Greater pride of workmanship

Individual self-fulfillment

Satisfaction, development and well-being


91/489



III-5 (91)

External Customer Quality Benefits

Higher quality products

Products that are more convenient to use

Products that are easier to maintain

Products that are more reliable

Products that offer greater value

A supplier that can more quickly respond to needs

A product or service that has perceived value

Products or services with enhanced features

A supplier that has better service

Better individual treatment in a variety of ways

A supplier better trained to handle complaints

Wider availability of products and services

Warranties that are honored

Quicker corrective action responses


92/489



III-6 (92)

Organizational Quality Benefits

A better reputation in the business community

Increased market share by attracting newcustomers

Greater profitability without raising prices

An ability to charge premium prices

A greater ability to pay and train all employees

Greater capacity and flexibility to handle change

An ability to attract top notch employees

More pride at all organization levels

More loyalty among customers

An ability to weather tough economic times

Faster response to technological change

Better competitive position

A greater probability of raising capital

A higher stock price


93/489



III-6 (93)

Stockholder Quality Benefits

Increased stock value

Better returns on an investment

A more widely respected business investment

More investment stability

More timely, accurate, and thorough annual reports

An organization which is technologically advanced

A company with greater capacity to handle change

Visionary leadership among company managers

An organization with a strong focus on the future

A company that analyzes critical processes

Investment performance in key areas

An organization with an ability to improve

An investment that is cost effective


94/489



III-7 (94)

Malcolm Baldrige National Quality Award

The Malcolm Baldrige National Quality Award wasmodeled after the Deming Prize in Japan and focuses onorganizational excellence. The systems model is nowcalled the Baldrige National Quality Program (BNQP) but

the presented award is still called the MBNQA. Corevalues and concepts are based on:

C Visionary Leadership: Senior leaders set directions,create a customer focus, create methods forachieving excellence, and build knowledge andcapabilities.

C Customer Driven Focus: Understanding todayscustomer desires and anticipating future customerdesires and marketplace offerings.

C Organizational and Personal Learning: Adopting awell-executed approach to learning includingcontinuous improvement and adaptation to change.

C Valuing Employees and Partners: Committing toemployee satisfaction, development, and well-being.Building internal and external partnerships to betterachieve overall goals.


95/489



III-7 (95)

MBNQA (Continued)

C Agility: Creating a capacity for rapid change andflexibility.

C Focus on the Future: A strong future orientation and

willingness to make long-term commitments to keystakeholders. Seeking opportunities for innovation.

C Managing for Innovation: Making meaningfulchanges to improve products, services, andprocesses. Creating new value for stakeholders.

C Management by Fact: Measurement and analysis of

performance, critical data, key processes, outputs,and results.

C Public Responsibility and Citizenship: Adopting apractice of good citizenship, business ethics andprotection of health, safety, and the environment.

C Focus on Results and Creating Value: Developingperformance measurements that focus on keyresults and create value for all stakeholders.

C Systems Perspective: Managing the wholeenterprise, to achieve performance improvement.


96/489



III-8 (96)

MBNQA (Continued)

The Malcolm Baldrige 2006 categories, items, and pointvalues. are shown in the table below.

2006 Categories/ Items Point Values

1 Leadership 120

1.11.2

Senior LeadershipGovernance and Social Responsibil ity

7050

2 Strategic Planning 85

2.12.2

Strategy DevelopmentStrategy Deployment

4045

3 Customer and Market Focus 85

3.13.2

Customer and Market Know ledgeCustomer Relationsh ips and Satisfaction

4045

4 Measurement, Analysis, and Knowledge Management 90

4.1

4.2

Measurement, Analysis, and Review of Organizational

PerformanceInformation and Know ledge Management

45

45

5 Human Resource Focus 85

5.15.25.3

Work SystemsEmployee Learning and MotivationEmployee Well-Being and Satisfaction

352525

6 Process Management 85

6.16.2

Value Creation ProcessesSupport Processes and Operational Planning

4540

7 Results 450

7.17.27.37.47.57.6

Product and Service OutcomesCustomer-Focused OutcomesFinancial and Market OutcomesHuman Resource OutcomesOrganizational Effectiveness OutcomesLeadership and Social Responsib ility Outcomes

100 70 70 70 70 70

Total Points 1000


97/489


III. QUALITY BENEFITS AND PHILOSOPHIESQUALITY PHILOSOPHIES

III-9 (97)

Philip B. Crosby

(1928 - 2001)

Philip B. Crosby was corporate vice president of ITT for14 years. He consulted, spoke, and wrote aboutstrategic quality issues.

Awards: Fellow, ASQPast president of ASQ

Books: Quality Is FreeQuality Without TearsRunning ThingsThe Eternally Successful OrganizationThe Art of Getting Your Own Sweet WayQuality is Still Free

Statement on quality:

Quality is conformance to requirements.


98/489



III-9 (98)

Philip B. Crosby (Continued)

Crosby believed that quality is a part of the companyand senior managers must take charge of it.

He believed the quality professional must become more

knowledgeable and communicative about the business.

Crosby stated that corporate management must makethe cost of quality a part of the financial system of theircompany.


99/489



III-10 (99)

Crosbys Message

Crosby's name is best known in relationship to theconcepts of Do It Right First Time and Zero Defects.

He considered traditional quality control, acceptable

quality limits and waivers of sub-standard products torepresent failure rather than assurance of success.

Crosby, therefore, defined quality as conformance to therequirements which the company itself has establishedfor its products based directly on its customers' needs.


100/489



III-10 (100)

Crosbys Message (Continued)

Crosby does not believe that workers should take primeresponsibility for poor quality; the reality, he says, isthat responsibility resides with management.

In the Crosby approach, the Quality Improvementmessage is spread by creating a core of qualityspecialists within the company. There is strongemphasis on the top-down approach, since he believesthat senior management is entirely responsible forquality.

The ultimate goal is to train all the staff and give them

the tools for quality improvement and to apply the basicprecept of Prevention Management in every area.


101/489



III-11 (101)

Crosby's Four Absolutes

1. Quality means conformance to requirements.

2. Quality comes from prevention.

3. Quality performance standard is Zero Defects (ordefect-free).

4. Quality measurement is the price ofnonconformance.

Crosby divided the cost of quality into two areas -the price of nonconformance (PONC) and the

price of conformance (POC).


102/489



III-12 (102)

Crosbys 14 Steps to Quality Improvement

Step 1. Management commitment

Step 2. The quality Improvement team

Step 3. Measurement

Step 4. The cost of quality

Step 5. Quality awareness

Step 6. Corrective action

Step 7. Zero defects (ZD) planning

Step 8. Employee education

Step 9. ZD day

Step 10. Goal setting

Step 11. Error cause removal

Step 12. Recognition of good quality work

Step 13. Quality councils

Step 14. Repetition


103/489



III-15 (103)

Crosby's Comments

The key things to remember are:

People will take quality just as seriously as themanagement takes it, no more.

Integrity is unrelenting; it can't be done in short burstsof enthusiasm stemming from regret.

The tools of quality control are not designed to causeprevention throughout the organization.

Think about quality improvement in terms of earnings

per share. A well-established process will double it.

Every individual in the company needs continualeducation concerning his or her role in getting thingsdone right the first time.


104/489



III-16 (104)

Dr. W. Edwards Deming

(1900 - 1993)

Education: BS, University of Wyoming;MS, University of Colorado; PhD, Physics,

Yale

Awards: Shewhart Medal, ASQ, 1955Second Order Medal of the Sacred

Treasure, first American, 1960Honorary Member, ASQ, 1970Numerous other awards

Books: Over 200 papers, articles, and books werepublished, including:Quality, Productivity, and CompetitivePosition

Out of the Crisis

Statement on quality:

He was the founder of the third wave of theindustrial revolution.


105/489



III-16 (105)

Dr. W. Edwards Deming (Continued)

W. Edwards Deming is the one individual whose namestands for quality and what it means.

He is a national folk hero in Japan and perhaps the

leading speaker for the quality revolution in the world.

He visited Japan several times between 1946 and 1948,for the purposes of census taking. He developed afondness for the Japanese people during that time.

JUSE (Japanese Union of Scientists and Engineers)invited Deming back in 1950 for executive courses in

statistical methods.

He refused royalties on his seminar materials andinsisted that the proceeds be used to help the Japanesepeople. JUSE named their ultimate quality prize afterhim.


106/489



III-17 (106)

The Fourteen Obligations of Top Management:

1. Create constancy of purpose toward improvementof product and service

To be competitive, a company must constantlyimprove the products or services offered.

2. Adopt the new philosophy

We are in a new economic age. Westernmanagement must awaken to the challenge, mustlearn their responsibilities, and take on changeleadership.

American companies and American people need toadopt a new philosophy considering cost reduction,team work, quality and leadership.


107/489



III-17 (107)

The Fourteen Obligations (Continued)

3. Cease dependence on inspection to achieve quality

Eliminate the need for inspection on a mass basisby building quality into the product in the first place.

4. End the practice of awarding business on the basisof price tag

A company must minimize total cost.

5. Improve constantly and forever the system ofproduction and service

Continuous improvements in the system will helplower costs through increased productivity andefficiency.


108/489



III-18 (108)


6. Institute training on the job

Continuous improvement of the work force willcontribute greatly to the success of theorganization.

7. Institute leadership

The aim of supervision should be to help people,machines and processes perform better.Leadership empowers everyone.

8. Drive out fear, so that everyone may workeffectively for the company

Fear is both a motivator and de-motivator. Theeconomic loss from fear is appalling. It isnecessary for better quality and productivity thatpeople feel secure.


109/489



III-19 (109)


9. Break down barriers between departments

People in research, design, sales, and productionmust work as a team. One department's goals maycause trouble for another.

10. Eliminate slogans, exhortations, and targets for thework force

Exhortations, like zero defects, only createadversarial relationships.

11. Eliminate work standards (quotas) on the factoryfloor

Substitute leadership for quotas. Quotas takeaccount only of numbers, not quality or methods.


110/489



III-19 (110)


12. Remove barriers to pride of workmanship

People are eager to do a good job and distressedwhen they can't. Too often, misguided supervisors,faulty equipment, and defective materials stand inthe way.

13. Institute a vigorous program of education and self-improvement

Increase the flexibility of an organization's workforce by training employees to perform a number of

different jobs.

14. Put everybody in the company to work toaccomplish the transformation

7/21/20

Date post:	12-Apr-2018
Category:	Documents
Upload:	antonio-melgaco-da-silva
View:	214 times
Download:	0 times

ABCQ CQIA 2006 Instructor

Documents