Quality Assurance,

PTTE 434 - Lecture 1Quality Assurance,Organization & Management

Jim Wixson, CVS, [email protected]

(208) 520-2296 (mobile)(425) 385-8028 (Everett Apartment)

(425) 294-6947 (Boeing Office)

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Lecture 1 - Objectives Learn the five definitions of quality Learn about some of the various quality “movements. Understand the concept of “Cost of Poor Quality.” Understand the concept of “Continuous Improvement.” Talk about some of the continuous improvement leaders and

tools. Learn about the importance of defining the problem well

before trying to solve it.

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Garvin’s Five Definitions of Quality Transcendent Definition (Relative Quality): Quality is

universally recognizable; it is related to a comparison of features and characteristics of products.

Product-Based: Quality is a precise and measurable variable. Differences in quality reflect differences in quantity of some product attribute.

User-Based Definition: Quality is “fitness for intended use.”

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Garvin’s Five Definitions of Quality (Cont’d) Manufacturing-Based Definition: Quality is “conformance to

specifications.” Value-Based Definition: Quality is defined in terms of costs

and prices. A quality product is one that provides performance at an acceptable price or conformance at an acceptable costs.

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Quality Revolution or Quality Confusion?

6

Juran’s Approach

Balanced approach using managerial, statistical, and technological concepts of quality

Operational Framework: Quality Planning, Control, and Improvement

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W. Edwards Deming

Broad Systems view of quality 14 points focused on four parts:

systems approach statistical variation nature and scope of knowledge psychology and understanding of human

behavior

8

A. V. Feigenbaum

Emphasized “Total Quality Control” throughout all functions of the organization.

Total Quality Control means both planning and control.

Provide technical and managerial procedures to ensure customer satisfaction and an economical cost of quality.

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Philip Crosby

Defined quality as: Conformance to requirements.

The only performance standard is ZERO DEFECTS.

All levels of employees can be motivated, but, they need the right tools.

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Crosby’s Four Absolutes of Quality Management

Quality is defined as conformance to requirements, not as 'goodness' nor 'elegance'.

The system for causing quality is prevention, not appraisal.

The performance standard must be Zero Defects, not 'that's close enough'.

The measurement of quality is the Price of Non-conformance, not indices.

11

Kaoru Ishikawa

Showed the Japanese how to integrate the many tools of quality, especially the simpler tools.

Basic 7 Tools: Histograms, Pareto Charts, Cause and Effect Diagrams, Run Charts, Scatter Diagrams, Flow Charts, Control Charts

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Six Sigma?

13

Show Film

Carving a Career in Quality, Phillip Cosby and Assoc., 25 min.

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It can’t be done!

“Management wants us to add on these quality activities to our regular duties without giving us the additional time [to accomplish them] -- it can’t be done!”

Discussion - How can it be done? Has your employer implemented any quality

improvement programs? How was it done?

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Quality? - Convincing Management

Loss of production Loss of customers Loss of business Loss of jobs Class - Can you list some more reasons?

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Hidden costs of poor quality

Reprocessing

Rejects Sorting InspectionCustomer returns

Warranty expenses

Downgrading of product

Lost salesProcess downtimeExtra inventoryLost discounts

Damaged goods

Premium freight costs

Customer allowances

Overtime to correct errorsLoss of good will

Paperwork errorsDelays

Obsolete inventory

Incorrect orders shipped

Extra process capacity

Competitor

Competitor

Competitor

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Quality? - Convincing Management

Quality is no longer just a technical issue, it is a business issue.

In order for a quality program to succeed, top management must be involved and committed to its success.

A company’s success is directly related to management’s commitment to quality.

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Opportunity Cost of AttritionD

olla

rs (

000s

)

Nu

mb

er o

f H

ou

seh

old

s

Quarters

0

5,000

10,000

15,000

20,000

25,000

30,000

35,000

50,000

0

100,000

150,000

300,000

200,000

250,000

1Q

$26,000

2Q

$28,000

3Q

$27,000

4Q

$28,500

Annual Avg. profit lost (000s)

Households defecting

120,000 124,000 122,500125,000

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Optimum Cost of Quality

Quality of Conformance %

Co

st p

er G

oo

d U

nit

of

Pro

du

ct

1000

Total quality costs per good unit

of product

Failure costs

Costs of appraisal plus prevention

(Perfection)(No quality)

Optimum cost

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Two Components of QualityManufacturing Industries Service Industries

Product Features

Performance AccuracyReliability Timeliness

Durability Completeness

Ease of Use Friendliness and Courtesy

Serviceability Anticipating Customer Needs

Aesthetics Knowledge of Server

Availability of Options andExpandability

Appearance of Facility andPersonnel

Reputation Reputation

Freedom from Deficiencies

Product free of defects anderrors at delivery, during use,and during servicing

Service free of errors duringoriginal and future servicetransactions

All processes free of reworkloops, redundancy, and otherwaste

All processes free of reworkloops, redundancy, and otherwaste

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Quality Progress

Market

research

Customer

service

Marketin

g,

administrativ

e

support

Inspecti

on

Test

Production

Process

Control

Operations

planning

Specifica

tion

Product

development

and design

Market

research

Purchasin

g

Suppliers

Wholesaling

Retailing

Use

Feedback

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Little Q and Big Q

Topic Content of Little Q(internal view)

Content of Big Q(external view)

Products Manufactured Goods All products, goods, andservice whether for sale, or not

Processes Processes directly relatedto manufacture of goods

All processes; manufacturingsupport; business, etc.

Industries Manufacturing All industries; manufacturing;service, government, etc.whether for profit or not

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Continuous ImprovementI

Am

Responsible

for Quality

As a

Good Process Owner or User

I will:

As a

Good Supplier

I will:

As a

Good Customer

I will:

1. Agree on and document my requirements with my supplier.

2. Return defective inputs to my supplier promptly and tactfully.

3. Feedback input quality data to my supplier.

1. Understand my customer requirements, and agree on and document my deliverables.

2. Reduce defects and variations in my output.

3. Measure my output quality from my customer’s perspective.

1. Learn to apply the tools of quality - teach others.

2. Continuously improve my process - reduce defects, cycle time, and know benchmarks.

3. Document and display my process, defect levels, and CI projects.

Requirements and feedback

My input

My supplier

My customer

Requirements and feedback

My output

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Competitive Standing

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Attribute Comparison - Radar Graph

0

20

40

60

80

100

120

140

160

180

Safety

Performance

Quality

Field serviceEase of use

Company image

Plant service

Company X Competitor A Competitor B

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Maintain Status quo Leverage competitive strength

Assign little or no priority on action.

Add resources to achieve improvement

Performance - Satisfaction Map

200

60

40

80

100

17.5 35 52.5 70

Importance

Per

form

ance

(%

sat

isfi

ed)

Product

Sales

Repairs

Billing

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Convincing upper managementReturn on assets (ROA) = Profit margin x Asset turnover

Assume COPQ* = 10% of sales revenue

Profit margin = 7%

Asset turnover = 3.0

=> ROA = 7% x 3.0 =21%

Assume COPQ reduced to 6% of sales revenue

=> Profit margin = 7% + (10% - 6%) = 11%

Asset turnover = 3.0

=> ROA = 11% x 3.0 = 33%

A 4% reduction in COPQ results in a 12% increase in ROA!!

*Cost of Poor Quality

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Convincing upper management

Estimate the size of quality related losses. Identify ways of improving quality. Estimate the savings and other benefits. Calculate return on investment (ROI) Use a successful case history to justify a

broader program. If all else fails, take pictures of waste and/or

hazards (EIMCO example).

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Are Quality Approaches Influenced By Culture?

Quality Approaches are Influence by Culture

The US approach has historically been

command-and-control oriented.

The Japanese approach is based on

an ethic of consistency and emphasis on

reduction of waste.

The Europeans have adopted broad

standards that can be adapted to the

diverse nation states of the EC.

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National and International Quality Awards Malcolm Baldrige National Quality Award Deming Prize European Quality Award Shingo Prize

The US approach has historically been

command-and-control oriented.

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The Malcolm Baldrige National Quality Award

Malcolm Baldrige National Quality Award The award is open to small (less than 500 employees)

and large firms (more than 500 employees) in the manufacturing and service sectors.

There can be only two winners per category each year. That limits the number of yearly awards to six.

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The President of the United States traditionally presents the Awards at a special ceremony in Washington, DC. Awards are made annually to recognize U.S. organizations for performance excellence. The Award eligibility categories are:

manufacturing businesses service businesses small businesses education organizations health care organizations

Recipients are expected to share information about their successful performance strategies with other U.S. organizations.

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The Award is named for Malcolm Baldrige, who served as Secretary of Commerce from 1981 until his tragic death in a rodeo accident in 1987. His managerial excellence contributed to long-term improvement in efficiency and effectiveness of government.

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The Malcolm Baldrige National Quality Award was created by Public Law 100-107, signed into law on August 20, 1987.

The Award Program, responsive to the purposes of Public Law 100-107, led to the creation of a new public-private partnership.

Principal support for the program comes from the Foundation for the Malcolm Baldrige National Quality Award, established in 1988.

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Key Characteristics of the MBNQA Criteria The criteria focus on business results.

Companies must show outstanding results in a variety of areas to win.

The Baldrige criteria are nonprescriptive and adaptive. Although the focus on the Baldrige award is on results, the means for obtaining these results are not prescribed.

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Key Characteristics of the MBNQA (cont.) The criteria support company-wide alignment

of goals and processes. The criteria permit goal-based diagnosis. The criteria and scoring guidelines provide

assessment dimensions.

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MBNQA Criteria

The Criteria are designed to help organizations use an integrated approach to organizational performance management that results in: delivery of ever-improving value to customers, contributing to marketplace success improvement of overall organizational effectiveness and

capabilities organizational and personal learning

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MBNQA Criteria

The Criteria are the basis for organizational self-assessments,for making Awards, and for giving feedback to applicants. In addition, the Criteria have three important roles in strengthening U.S. competitiveness: to help improve organizational performance practices,

capabilities, and results to facilitate communication and sharing of best practices

information among U.S. organizations of all types to serve as a working tool for understanding and managing

performance and for guiding organizational planning and opportunities for learning

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Baldrige Award Framework

4Information and analysis

3Customer andmarket focus

6Process

management

1Leadership

7Businessresults

2Strategic planning

5HR develop. &management

Customer and Market Focused Strategy and Action Plans

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In the second phase, Board of Examiners to conduct a rigorous evaluation of an organization's performance management system and the results of its processes.

The first phase of the Award cycle is to establish that the applicant meets the eligibility requirements. Applicants submit an Eligibility Certification Package certifying that the organization is eligible to apply for the Award.

The third phase of the Award cycle involves the review of the application package. Applications are reviewed and evaluated by members of the Board of Examiners, all of whom adhere to strict rules regarding conflict of interest. The review is conducted in three stages:

Stage 1 - Independent ReviewStage 2 - Consensus ReviewStage 3 - Site Visit Review

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Being a Baldrige Examiner Appointment to the board of Trustees for the

MBNQA Board of Examiners is a very prestigious designation.

Examiners are unpaid volunteers, and must be willing to give up approximately 10% of their year to serve as an examiner.

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For more information on the Malcolm Baldridge National Quality Award, visit:

http://www.quality.nist.gov/

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Quality Improvement: The Japanese Way

Deming Prize The Deming Prize for quality was established

in 1951 by the Japanese Union of Scientists and Engineers (JUSE).

The Deming Prize is much more focused on processes than is the Baldrige.

The Japanese approach is based

on an ethic of consistency and

emphasis on reduction of waste.

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What is the Deming Prize?

The Deming Application Prize Given to companies or divisions of companies that have achieved distinctive performance improvement through the application of TQM in a designated year.

The Deming Prize for IndividualsGiven to individuals who have made outstanding contributions to the study of TQM or statistical methods used for TQM, or individuals who have made outstanding contributions in the dissemination of TQM.

The Quality Control Award for Operations Business UnitsGiven to operations business units of a company that have achieved distinctive performance improvement through the application of quality control/management in the pursuit of TQM in a designated year.

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The Deming Prize

For more information on the Deming Prize visit:

http://www.deming.org/demingprize/

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Other Japanese Contributions to Quality Thought Lean Manufacturing (Toyota Production

System) Lean is a method of systematically eliminating waste in

a production system. Lean dramatically reduces cycle time. Lean focuses on the company’s “value stream” to

identify wasted movement, wasted time, wasted inventory, and wasted space.

Lean has been adopted by many US manufacturers and other firms and has aided them in achieving dramatic improvements in operations

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Other Japanese Contributions to Quality Thought - 5 S’s

Other Japanese Contributions to Quality (cont.) The Five S’s. The five Ss are a sequential process

that companies follow to literally “clean up their acts.” The Ss are:

Seri (Sort): organizing by getting rid of the unnecessary.

Seiton (set in order): neatness that is achieved by straightening offices and work areas.

Siso (Shine): cleaning plant and equipment to eliminate dirtiness that can hide or obscure problems.

Seiketsu (Standardize): standardizing locations for tools and other materials.

Shetsuke (Sustain): discipline in maintaining the prior four Ss.

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Other Japanese Contributions to Quality Thought

Other Japanese Contributions to Quality (cont.) Quality Circles

Are natural work teams made up of workers that are empowered to improve processes they use.

Total Productive Maintenance (TPM) The idea behind this concept is that the worst

condition a machine should ever by is on the day you purchase it.

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Shingo Prize for Excellence in Manufacturing

Named for Japanese industrial engineer Shigeo Shingo who distinguished himself as one of the world’s leading experts in improving manufacturing processes.

The Prize was established in 1988 to promote awareness of Lean manufacturing concepts

Recognizes companies in the United States, Canada, and Mexico that achieve world-class manufacturing status.

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The Shingo Prize recognizes organizations and research that is consistent with its mission and model with two types of prizes:

Business Prize—promotes use of world-class manufacturing strategies and practices to achieve world-class results.

Research Prize—promotes research and writing regarding new knowledge and understanding of manufacturing processes.

Business Week referred to the Shingo Prize as the “Nobel prize of manufacturing,” because it establishes the standard for world-class excellence.

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For more information on the Shigo Prize visit:

http://www.shingoprize.org/AboutUs/default.htm

http://www.partnersusu.org/

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Quality Improvement: The European Way

ISO 9000 Is the European standard for quality that has been

expanded worldwide. The ISO 9000 family is primarily concerned with

"quality management". This means what the organization does to fulfil: the customer's quality requirements, and applicable

regulatory requirements, while aiming to enhance customer satisfaction, and achieve continual improvement of its performance The Europeans have

adopted broad standards that can be adapted to the


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Quality Improvement: The European Way

The ISO 14000 family is primarily concerned with "environmental management". This means what the organization does to: minimize harmful effects on the environment

caused by its activities, and to achieve continual improvement of its

environmental performance.

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ISO 9000 and 14000

ISO 9000 and ISO 14000 are known as generic management system standards.

Generic means that the same standards can be applied to any organization, large or small, whatever its product - including whether its "product" is actually a service - in any sector of activity, and whether it is a business enterprise, a public administration, or a government department.

Management system refers to what the organization does to manage its processes, or activities in order that the products or services that it produces meet the objectives it has set itself, such as the following:

satisfying the customer's quality requirements,

complying to regulations, or

meeting environmental objectives.

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ISO 9000 and 14000

For more information on the ISO 9000 and ISO 14000 visit:

http://www.iso.ch/iso/en/iso9000-14000/index.html

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European Quality Award

European Foundation for Quality Management (EFQM) was founded in 1988 by the Presidents of 14 major European companies

First European Quality Award issued in 1992

Endorsed by the EU Commission

Network has more than 700 members

Formed the European framework for quality improvement along the lines of the Malcolm Baldrige Model in the USA and the Deming Prize in Japan. The Europeans have

adopted broad standards that can be adapted to the


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Europe's most prestigious Award for organizational Excellence

Award levels are: Award Winner Prize Winners Finalists Recognized for Excellence

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European Quality Award Prize Winner categories consist of :

Leadership and constancy of purpose

Customer focus

Corporate social responsibility

People development and involvement

Results orientation

Management by processes and facts

Continuous learning, innovation and improvement

Partnership development

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For more information on the European Quality Award visit:

http://www.efqm.org/model_awards/eqa/intro.asp

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Contributions of Various Disciplines

Finance: Measuring the cost of poor quality Industrial Engineering: Design of integrated

systems, measurement, problem solving, work analysis

Information Technology: Measurement, analysis, and reporting on quality

Marketing Research: Competitive standing on quality, understanding customer desires

Operations Management: Management of integrated systems

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Operations research: Analyzing product design alternatives for optimization

Organizational Behavior: Understanding quality culture, making teams effective.

Organizational Effectiveness: Satisfying the needs of both internal and external customers.

Contributions of Various Disciplines (Cont’d)

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Contributions of Various Disciplines (Cont’d)

Strategic Planning: Quality as a means of achieving a unique competitive advantage.

Systems Engineering: Translating customer needs into product features and process features

Value Engineering: Analysis of essential functions needed by customer to find the lowest cost way of providing these functions that meet quality, reliability, and performance requirements.

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Systems Dynamics

Most process improvement efforts rely on breaking problems down into smaller, more manageable, components.

This “reductionist” approach sometimes fails to recognize that the problem is greater than the sum of its parts.

A “systems thinking” approach to identify interactions between activities and the unintended consequences that can arise from well-intended corrective actions.

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How SD can facilitate the Improvement Efforts

SD provides a visual model of the system under study.

Changes to the system can be made easily and quickly analyzed

Repeated iteration of a SD model can optimize the system under study

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Approach for Quality Improvement Projects

Get a champion Prove the need Identify Projects Organize teams Perform the study, or Kaisan Document recommendations Perform a pilot project Document results Expand to entire organization

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Carrying out the project

Verify project need and mission Diagnose the causes Provide a remedy and prove its effectiveness Deal with resistance to change Institute controls to hold the gains

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Intro to Six Sigma

Six Sigma Capability: Extremely small variation in the process mean compared to the range of the specification limits.

Even if process mean shifts by 1.5 sigma => no more than 3.4 parts per million fall out of the specification limit.

Key focus: Y=f(X1…Xn)

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Breakthrough Improvement

Verify the project need (Six Define) Diagnose the Causes (Six Measure and

Analyze) Provide a remedy and prove its effectiveness

(Six Improve) Deal with resistance to Change (Six

Improve) Institute controls to hold the gains (Six

Control)

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Define the ProblemDefine the Problem

MeasureMeasure

AnalyzeAnalyze

ImproveImprove

ControlControl

End

A) Identify what the customer wants. B) Organize an improvement team. C) Create a process flow chart - (SIPOC)

A) Identify what the customer wants. B) Organize an improvement team. C) Create a process flow chart - (SIPOC)

A) Select “Critical to Quality Characteristic” metrics. B) Define Performance Standards. C) Validate the measurement System. D) Establish baseline performance in terms of Sigma Capability - Defects per

Million Opportunities.

A) Select “Critical to Quality Characteristic” metrics. B) Define Performance Standards. C) Validate the measurement System. D) Establish baseline performance in terms of Sigma Capability - Defects per

Million Opportunities.

A) Identify significant characteristics and establish process capability. B) Define performance targets for significant characteristics. C) Identify root cause of process variation.

A) Identify significant characteristics and establish process capability. B) Define performance targets for significant characteristics. C) Identify root cause of process variation.

A) Identify and evaluate potential solutions. B) Implement short-term countermeasures. C) Implement long term corrective actions. D) Identify systemic indirect effects and unintended consequences of

improvement ideas. E) Establish operating tolerances for new process.

A) Identify and evaluate potential solutions. B) Implement short-term countermeasures. C) Implement long term corrective actions. D) Identify systemic indirect effects and unintended consequences of

improvement ideas. E) Establish operating tolerances for new process.

A) Verify corrective actions and validate new measurement systems. B) Determine process capability. C) Establish and implement control plan.

A) Verify corrective actions and validate new measurement systems. B) Determine process capability. C) Establish and implement control plan.

Move on to next highest priority process. Move on to next highest priority process.

Six Sigma Process - Click Here

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Value Engineering

Value Engineering (VE) is an intensive, interdisciplinary problem solving activity that focuses on improving the value of the functions that are required to accomplish the goal, or objective of any product, process, service, or organization.

VALUE METHODOLOGY“The systematic application of recognized techniques which identify the functions of the product or service, establish the worth of those functions, and provide the necessary functions to meet the required performance at the lowest overall cost.”

*John M. Bryant, VM Standard, Society of American Value Engineers, Oct. 1998

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Value Engineering/Value Analysis - Why is it important?

Last 3 years, 2.7 million manufacturing jobs left the U.S.

The U.S. is loosing the battle to foreign competition. Labor costs $12 to $30 per hour in U.S., less than $1

elsewhere. Fewer and fewer people will be required to produce

the world’s goods. Lean and Six Sigma alone are not enough!

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Competitive Advantage

Quality is defined as “conformance to specification.”

Value is defined as:Function

Cost

You can’t have one without the other!

Competitive Advantage = Quality + Value

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Six Step Value Engineering Job PlanInformation

PhaseInformation

Phase

Creativity Phase

Creativity Phase

Evaluation Phase

Evaluation Phase

Planning PhasePlanning Phase

Reporting Phase

Reporting Phase

Implementation Phase


Clearly identify the problem(s) to be solved, and gather information on the background, functions and requirements of the product, process, or system.

Clearly identify the problem(s) to be solved, and gather information on the background, functions and requirements of the product, process, or system.

Brainstorm ideas on how to improve the high cost, broken, or inadequately performed key functions.

Brainstorm ideas on how to improve the high cost, broken, or inadequately performed key functions.

Screen ideas for acceptance, score remaining ideas on a scale and group ideas into categories. Develop design scenarios, and selection criteria. Rate and rank ideas.

Screen ideas for acceptance, score remaining ideas on a scale and group ideas into categories. Develop design scenarios, and selection criteria. Rate and rank ideas.

Plan how to sell ideas to management, identify key recommendations, plan management presentation.

Plan how to sell ideas to management, identify key recommendations, plan management presentation.

Give oral presentation to management, or develop written report.

Give oral presentation to management, or develop written report.

Get management approval for go-ahead, make management plan, make assignments, implement, follow-up.

Get management approval for go-ahead, make management plan, make assignments, implement, follow-up.

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Mapping VE to 6

Information Phase

Information Phase

Creativity PhaseCreativity Phase

Evaluation Phase

Evaluation Phase

Planning PhasePlanning Phase

Reporting PhaseReporting Phase



Define the ProblemDefine the Problem

MeasureMeasure

AnalyzeAnalyze

ImproveImprove

ControlControl

VA/VE 6

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Vilfredo Pareto

Vilfredo Pareto (1848-1923) was an Italian economist and a political sociologist. He devised the law of the trivial many and the critical few, known as the 80:20 rule.

Pareto’s Law states that in many business activities 80% of the potential value can be achieved from just 20% of the effort. The remaining 80% of effort shows relatively little return.

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Defining the Problem - Pareto Analysis

Quality Improvement Example

Solder Defects

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Solder Defects - Pareto Analysis

Solder Defects

0

50

100

150

200

250

300

350

Defect Type

Occ

ure

nce

of D

efec

ts

0%

20%

40%

60%

80%

100%

120%

Cu

mla

tive

Per

cen

t of D

efec

ts

Series2 297 73 62 62 45 21

Series1 53% 66% 77% 88% 96% 100%

Insufficient Solder

Blow Holes Unwetted Unsoldered Shorts Pinholes

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Ishikawa or Fishbone Diagram

Back to CauseCatagories

Print Color Diagram

Back to Problem

Back to SpecificCauses

Solder Defects

Temp. control error

MaintenanceAmount

Controller

Low-high solids

Exhaust

Orientation

Metallurgy

Geometry

ActivityMovement

Specific gravity

Contaminated leads

Placement

Contamination

Temperature

TemperatureValidity

Interpretation

Void in pth

Weight Alloy

Dross

Components MachinesFlux

PWC Spec Solder

Back to Main Menu

preheat

Time

Orientation

Warped

Outgassingt

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Process Data

1 2 3 4 5 6 7 8 9 10 11 12

350

300

250

200

Te m

per

a tu

re o F

Seconds

Region of cold solder joints

Region of heat overload on P.C.B.A.

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Conclusions

Either raise solder temperature, or slow down the conveyor.

A previous test years ago had been conducted at a higher temperature, but, resulted in “reflow of tin under the solder mask.”

A trial was conducted at a higher temperature yielding satisfactory results and broke the resistance to change.

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Don’t jump to solution!

An apparel manufacturing company detected a problem with it’s “fuseable” lining.

Many customer returns Lining falling off after a few washings Solution: “We need a new brand of lining.

Our current brand is defective!”

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Don’t jump to solution! - DOE Fusible Lining Example

Fusible Lining Experiment

0

1

2

3

4

5

6

7

8

9

10

160 170 180 190 200 210 220 230 240 250 260

Temp. deg C.

Su

ccesses

a b Current Expected Poly. (Expected)

A

B

Current

?

Expected

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Sporadic v.s. Chronic Problems

Sporadic problems are dramatic and require immediate attention.

Chronic problems are not dramatic, they occur over a long period of time.

Chronic problems are difficult to solve. Chronic problems are “accepted as

inevitable.”

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Sporadic v.s. Chronic Problems

Sporadic problems are solved by fixing the control process.

Chronic problems are solved using process improvement techniques such as Value Engineering and/or Six Sigma.

Value Engineering may be applied to sporadic problems as well, e.g., Boeing 737/757 elevator feel computer problem.

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Sporadic and chronic quality problems

Lo

ss d

ue

to d

efec

ts

Time

Sporadic departure from historic level

Historic level

Improved level

The difference between historic and improved levels is caused by a chronic disease that can be eliminated economically through process improvement techniques.