QUALITY IMPROVEMENT APPROACHES
Total Quality ManagementElements
QualityQualitySystemSystem
Role ofTop Management
Tools & TechniquesEmployee InvolvementTraining & Team Work
Evolution in Quality Mgmt.Scientific Management Era
Plan
Act Do
Check
Specialist
Management/Specialist controls. All problem solving derived from specialist
Direct employeesperform tasks
Evolution in Quality Mgmt.TQM Era
Plan
Act Do
Check
Employee controls the cycle
Management provides the resources of raw material, equipmentand training.
Identify Quality problem
Set the scopeMeasure
current status
Identify improvement
projects
Project 1 Project 2 Project 3 Project N. . .
Small group improvement using Quality Control Tools
Employee Involvement & Team workUse of Small group improvement
projects
Quality Management ToolsA classification
Purpose for which the tool is used Quality Control Tools New 7 Management tools
Highlighting problems (a) Process Control Charts Identifying specific improvement opportunities
(b) Histograms (c) Check Sheets (d) Pareto Diagrams (e) Scatter Diagrams (f) Process chart
Analysing problems & their root caus es
(g) Cause and Effect (Fish bone) Diagram
(i) Affinity Diagram (j) Relationship
Diagram Operational planning for building quality into products/services
(k) Tree Diagram (l) Matrix Diagram (m) Matrix Data
Analysis (n) Process Decision
Program Chart (PDPC)
(o) Arrow Diagram
Strategic Planning QFD , Bench marking
HistogramAn example
Causes for adjustment snags
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Leakage Missing Fouling Rew orks Poor routing Loose fitting
Categories of problems
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Causes for Rework
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Lack ofdrawing clarity
Toolingproblems
Processcontrol issues
Design issues Vendor relatedproblems
Categories of problemsN
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Pareto DiagramAn example
Adjustment Snags Analysis
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Reworks Leakage Missing Loosefitting
Poorrouting
Fouling
Categories of problems
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Reworks Analysis
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Designissues
Lack ofdrawingclarity
Vendorrelated
problems
Toolingproblems
ProcessControlIssues
Categories of problemsN
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Cause and Effect DiagramA generic representation
Materials Work methods
Equipment Labour
Quality
Cause
Effect
Matrix Diagram: An ExampleHindustan Motors - 1035N
Dumper
Order Winning
QualifyingLess
important
Bet
ter
Sam
eW
orst
POKA YOKEAn example
A pair of sensors for fail proof
through drilling
Continuous Improvement Approaches
Continuous Improvement
• Continuous improvement– Refers to constant and positive change in the working conditions in an
operating system
– Leading to better performance evident from key performance measures
• Typical examples of such improvements – Increase in production with no addition of capacity,
– Elimination of manpower even when production levels go up
– No appreciable increase in cost of production even when the volume drops
– Increase in the velocity of various business processes without any addition of new capacity or technology
– Significant reduction in defects
– Rework and inventory investments when the production rates go up
– An overall increase in the productivity
Improvement in OperationsAlternative Trajectories
• Radical (Step) Improvement– raises the level of the system substantially at a point in time
– Typically happen due to innovations in technology pertaining to the operations & substantial up-gradation of the capacity
– Once a radical improvement is made, the system moves to a significantly higher level of performance
• Continuous (Ramp) Improvement– Improvements made in small steps and on a continuous basis through a systematic
study of the existing system and changes in the processes and procedures
– Does not call for breakthrough innovations, large investment in capacity or radically new technology
– Could be applied in several areas of business including manufacturing, business processes in other areas such as marketing, finance and customer and supplier relationship
• Hybrid Improvement– A combination of both in alternating cycles
Improvement of OperationsAlternative trajectories
Per
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Time
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stem
Time
(a) Step improvement (b) Ramp improvement
Per
form
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att
ribu
tefo
r th
e sy
stem
Time
(c) Hybrid improvement
Continuous Improvement ProcessA framework
Create a context for continuous
improvement
Set up a measurement methodology for assessing
the quantum of improvement
Equip the employees with tools & techniques
for continuous improvement
Create appropriate organisational structures
for continuous improvement
Closely monitor and recognise the benefits
accrued from improvements
Continuous Improvement
Cycle
Continuous ImprovementCreating a context
• Benchmarking Exercises– Internal benchmarking– Competitor benchmarking– Process Benchmarking
• TPM & TQM Initiatives• International Awards & Certifications• Industry Association initiatives
– IMVP Example– CII’s initiatives in automotive cluster
Benchmarking APQC methodology
Source: Adopted from http://www.apqc.org/portal/apqc/site/generic?path=/site/benchmarking/free_resources.jhtml
Colle
ct
Plan
Analyse
Ad
ap
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Continuous Improvement Tools & Techniques
• Process Mapping– A tool to understand various steps involved in performing a
business process
• Non-Value Added (NVA) Analysis– A method by which the relevance of some of the existing
activities are questioned
• Business Process Engineering (BPR)– Fundamental rethinking and radical redesign of processes
• Kaizen Initiatives• Setup time reduction through SMED• QC Tools• Activity Based Management (ABM)
Process MappingSome alternatives…
• Customer order “walk through”
• Collaborative brainstorming/charting
• Bottom-up approach – Interviews of staff in functional departments
• Executive judgement
Business Process EngineeringSome guidelines to identify
scope• Extensive information exchange, data redundancy and re-
keying of data points to arbitrary fragmentation of a natural process
• Large investment in inventory, buffers and other assets indicates that the existing process is unable to cope up with uncertainty
• High proportion of checking, control and progress monitoring implies too much fragmentation of the process
• Inadequate feedback in the process results in excessive rework and iteration
• Increase in complexity of operations, exceptions and special cases also indicate the need for simplifying the process by revisiting the process fundamentals
Implementing BPRA three-step methodology
Understand the existing
Process
Simplify theProcess by
eliminating NVA
Automatethe Process
Process MappingBrainstorming
“As-is” analysis
NVA Analysis“Should-be”
analysis
EDIERP
Internet tools
Tools used in each step
Setup Time Reduction
An illustration of results
1. Wyvomatic A 540 450 205
2. Acme Gridley 1020 315
3. Wyvomatic B 165
4. Stama Feed Machine 510 180 60
5. Stama Bleed Machine 110 65
Operation/Machine Changeover time ( in minutes) 1 2 3 4
What is ABM?
• ABM is a management tool to– Link different functional areas of management
to achieve a common goal of enhancing the competitiveness of a firm
• Process view of an organisation is as important as the cost view
– Facilitates continuous improvement process for obtaining operational and strategic benefits
Activity Based ManagementUnifies Operations & Costing
functions
Resources
Cost Objects
Cost view
Process Drivers
PerformanceMeasures
Process View
Activities
Organisation for Continuous Improvement
• Task force for continuous improvement
• Quality Circles
• Small Group Improvement Activity (SGIA) Projects
• Visual control aids for improvement
Continuous Process ImprovementUsing SGIA Projects
Product/Service
Identified
Set the scopeMeasure
current status
Map at overallLevel; Identify
detailed projects
Project 1 Project 2 Project 3 Project N. . .
Explore and Implement improvements for each project
Using Visual Control Aids for continuous improvement: An
Example
Estimated savings per month due
to this alone is about Rs.
40,000.
Using Visual Control Aids for continuous improvement: An
Example
Continuous ImprovementOrganisational Challenges
• Resistance to Change
• Tangibility of Improvements
• Incentive & Rewards Systems
Continuous ImprovementChapter Highlights
• Organisations make improvements either in a step mode or a gradual mode. – The step mode improvement happen on account of radical
innovations. – On the other hand, gradual mode improvements happen on account
of continuous improvements.
• A continuous improvement does not require any radically new technology or product. It concentrates on improving the effectiveness of existing processes in small steps.
• There are several ways by which organisations can create a context for continuous improvement of their operations.– Benchmarking exercises– Preparing for international awards and certifications– Engaging in TPM and TQM initiatives – Working along with other industry partners in cluster mode
New 7management & planning tools
• Affinity diagram
Grouping ideas according to family--a creative brain storming tool
Interrelations digraph
To map logical links of a central idea to more than one idea at a time--- Lateral thinking than linear thinking
Tree diagram
• Maps paths & tasks to achieve a goal
Matrix diagram
• Spread sheet/ graphically displays relations between tasks and functions , House of quality.
Matrix data analysisMatrix in the form of quantitative factor analysisProcess decision program chart .maps every conceivable event from problem statement to solution and counter measures.Arrow diagramsPERT/CPM
TQM techniques
• Bench marking• Nominal group technique• 5 whys and 1 how• Cost of quality• QFD(Quality Functon Deployment)• FMEA(Failure Modes & effects Analysis)• Force field analysis• VE/VA(Value engineering & Value analysis
Steps in Nominal Group Technique
• Read problem statement• Problem clarification• Silent idea generation• Round robin idea generation• Idea clarification• Idea grouping• Individual ranking of first 6 ideas• Compilation of idea ranking by all, by
Facilitator
FMEA
Analyses ways of failure of a product and its
effect of each mode using 3 criteria on 5 pt scale
• severity
• Probability of occurence(MTBF)
• Ease of detection of failure
• Items of higher Total scores are to be dealt with on priority.
Force field analysis
• Kurt Levin in 1920s
• To identify the forces (pressures) for and against changes.
• Participation and sense of ownership
• Forces for forces against
• What can be done to strengthen forces for and weaken forces against
VE/VA
• Better value to customer at lower cost• Ex; plastics replacing in automobilesSteps• Gather information• Functional identification’• Functional analysis• Creative alternatives • analysis &evaluation• ImplementationRead Edward de Bono, six thinking hats, penguin,1990
7 wastes
• Overproduction• Waiting• Transporting• Inappropriate processing (poor process
capability) • Unnecessary inventory• Unnecessary motion• defects
5S practices
• Table I The 5-Ss in Japanese and English
• Japanese English Meaning
• Seiri Structurize Organization
• Seiton Systemize Neatness
• Seiso Sanitize Cleaning
• Seiketsu Standardize Standardization
• Shitsuke Self-discipline Discipline
• The technique has been practised in Japan for a long time. Most Japanese 5-S practitioners consider the 5-S useful not just their physical environment but for improving their thinking processes as well.
• Seiri…structure. Separate and keep immediately necessary things as few as possible,
• Seiton. Neatess. A place for every thing and every thing in its place-
• quick identification by name,
• safe storage,
• neatness for notice ,posters
• Seiso..cleaning
• Every one from CEO to the opeartor is a janitor. No separate cleaner
• Every one will not get things dirty,nor spill,nor scatter litter,
• Every one will right away, rewrite things,which got erased
• Seiketsu..standardisation
• Repeatedly and continually maintain neatness and cleaning, by visual management. Labelling, colour codes are used
• Transparency. Keep things visible. Do not sweep things under the carpet, out of sight
• Shitsuke..Discipline
• Creating a habit of dong things in the way supposed to be done.
• Self discipline and are important training
5S check points for factory
• Cleaning up machines / equipment• Whether fixtures, tools are in their allotted place• Whether pallets, tote pans are kept clean• Whether work- in- process(WIP) and finished goods(FG) are kept in
proper place• Whether surrounding work places is clean• Whether empty pallets, tote pans are kept in their allotted place• Whether machines fans, lights are switched off after work• Whether used consumable items like waste not thrown on the floor• Whether rusted, dust- covered WIP are sent to next stage or not.• Whether walkway/pathway are kept clear without obstacles
5S check points for office• Floor and surrounding area is clean• Telephone and computers are kept clean• Furniture, cupboard, table drawers are kept clean and in order• Files are kept in labeled folders in file racks• In record rooms, files ore kept in order• Defective equipments are reported to maintenance department• Lights, Fans, computers and AC equipments are switched off after
use• Work place is cleaned after work.• Index of files is kept• Answering telephones in pleasant and decent manner.
Implementing 5S
• Top management commitment
• Promotional campaign
• Keep rcords photos, video before and after 5S
• 5S training
• Evaluation
Poke yoke
• Fail safe arrangements to prevent defective occurring
• Originally devised by Shigeo Shingo
• Chances for wrong activity is eliminated
• See examples in next slides
POKA YOKEAn example
A pair of sensors for fail proof
through drilling
Poke yoke in Lucas TVS
• 353 poke yoke arrangements have been installed to prevent errors, quality problems and accidents. The bench marking has been done for cellular manufacturing, with world class companies like Mitsbushi and Denso