Quality Control + Quality Assurance + Quality Improvement

EMGT303 : QUALITY MANAGEMENT IN ORGANIZATION

CHAPTER 5 QUALITY CONTROL, QUALITY ASSURANCE, QUALITY IMPROVEMENT Prepared by : Afizal Azzizan Masni-Azian Akiah Siti Rodhiah Abdul Aziz Umi Kalsom Kamarul Ariffin 1

OVERVIEW

quality :: depends on the stakeholder

•MANAGEMENT wants to see improved production numbers with acceptable quality • UNION wants the best conditions and highest pay for employees

• EMPLOYEES want consistent work in safe environment • CUSTOMER want value for their money

:: quality in manufacturing : [ product should work as intended with minimum number of faults & failures ] :: quality in service : [ customer satisfaction in the primary measure ] 2

OVERVIEW QUALITY CONTROL

QUALITY ASSURANCE

QUALITY IMPROVEMENT

:: Planned inspection / examination of a PRODUCT or SERVICES for a certain minimum levels of quality.

:: Activity to ensure that :: Effort taken to increase PROCESS implemented to efficiency of actions and produce the PRODUCT or procedures with the SERVICE satisfy customer purpose of achieving requirement in a additional benefits for the systematic and reliable organization and its users. fashion consistently.

:: Product/service oriented.

:: Process oriented

Example : • The manufacture of products is according to the outlined specifications. • The timeline of document processing is within the specified timeline.

Example : • Internal audit • 3rd party audit (ISO)

Example : • Kaizen •5S • ICC (Innovative and Creative Circle) • Hari ‘Q’

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OVERVIEW EXAMPLE : QC vs. QA vs. QI

ISO 9001 CERTIFIED

Engine Casting Painting Trim & Final

Final Inspection AUDITORS

Body Assembly

Stamping

Kaizen / ICC / 5S Program

INTERNAL AUDIT

performance

ORGANISATION

QC QA QI

CUSTOMER

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QUALITY CONTROL

concept • maintenance of standards of quality of manufactured goods • process of making sure that products or services are made to consistently high standards.

quality control can cover not just products, services, and processes, but also people. Employees are an important part of any company. If a company has employees that don’t have adequate skills or training, have trouble understanding directions, or are misinformed, quality may be severely diminished.

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QUALITY CONTROL

goal

•

ensures that products/services provided meet specific requirements and are dependable, satisfactory and fiscally sound (functioning).

•

identify products/services that do not meet a company’s specified standards of quality (eliminate nonconformance)

•

take action is problem is identified [QC team have the right to stop production temporarily is problem persist] 6

QUALITY CONTROL

implementation INSPECTION

MONITORING

RECORD

Involves the examination of a product, service or process for certain minimum levels of quality.

Routinely gather information on all aspect of the activity

Anything (such as a document) providing permanent evidence of information about past events.

Example : product specification, process specification

Example : Statistical Process Control (SPC)

Example : Employee training record for year 2003 ~ 2009

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QUALITY CONTROL

implementation •

Traditional QC

PROBLEM • •

• •

•

•

•

inspection of products and services takes place during and at the end of the operations process

not a value-added activity costly too late inspection done by the wrong people. not compatible with more modern production techniques. working capital is tied up in stocks which cannot be sold disagreement at to what constitutes as a “quality product”

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QUALITY CONTROL

implementation Example : Production Inspection (denoted by symbol

) are performed at three main points in production : PRODUCTION

Raw material

Final product

 QC only is not enough. Therefore, many businesses focused their efforts on improving quality by implementing quality management techniques, that is by emphasizing the role of

QUALITY ASSURANCE. 9

QUALITY ASSURANCE

concept • a set of activities designed to ensure the development and maintenance process is adequate to ensure a system will meet its objectives.

• the process of verifying or determining whether products or services meet or exceed customer expectations.

• a process driven approach with specific steps to help define and attain goals.

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QUALITY ASSURANCE

goal • • •

“HOW SURE ARE YOU??” :: focus on the process involves, and make sure you do the right thing. To ensure that the products/services meet the customer’s requirements at the highest standard. :: customer requirement/needs may change in time. Determine if the steps/process implemented to produce the product/service are appropriate with the time and conditions.

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QUALITY ASSURANCE

implementation •

•

Internal audit / First party audit :: a systematic, independent and documented process inspection conducted by members within the organization and obtain evidence and evaluate it to determine where inspection criteria are fulfilled. External audit / Second or Third party audit :: similar to internal audit, but conducted by members not within the organization. :: example - customers, independent organizations / certification body.

• NON-CONFORMANCE REPORT (NCR) Issued to the audited area if noncompliance are found. The audited area should reply with the correction and corrective action to closeout the NCR.

• CERTIFICATION To show that the organization is complying to the quality standard. Example : ISO 9001, ISO 14001

‘Auditor’ should be able to tell if the deliverable seems acceptable based on the process used to create it. That's why project auditors can perform a quality assurance review on your project, even if they do not know the specifics of what you are delivering. They don't know your project, but they know what good processes look like.

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QUALITY ASSURANCE

implementation •

The most popular tool used to determine quality assurance is the Shewhart Cycle (developed by Dr. W. Edwards Deming), also known as PDCA.

Act : Apply actions necessary for improvement if the results require changes

Check : Monitor and evaluate the implemented process by testing the results against the predetermined objectives

•

A P C D

Plan : Establish objectives and processes required to deliver the desired results.

Do : Implement the process developed.

PDCA analyzes existing conditions and methods used to provide the product or service to customer. 13

QUALITY ASSURANCE

implementation development

production

design

installation

•

• •

documentation

service

QA covers all activities from design, development, production, installation, servicing and documentation. This introduced the rules: “fit for purpose" and "do it right the first time". It includes the regulation of the quality of raw materials, assemblies, products and components; services related to production; and management, production, and inspection processes.

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QUALITY ASSURANCE

QC. vs QA. • Whereas quality control emphasizes testing and blocking the release of defective products, quality assurance is about improving and stabilizing production and associated processes to avoid or at least minimize issues that led to the defects in the first place. • However, QA does not necessarily eliminate the need for QC: some product parameters are so critical that testing is still necessary just in case QA fails 15

QUALITY IMPROVEMENT

concept •

Keyword : IMPROVEMENT

•

The continuous study and improvement of a process, system, or organization.

• • •

A continuous process that identifies problems, examines solutions to those problems, and regularly monitors the solution implemented for improvement. Example in manufacturing / industry : reduce product failures or work related injuries. Example in administration / service : increase efficiency or reducing re-work.

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QUALITY IMPROVEMENT

goal

• It is aimed at improvement - measuring where you are, and figuring out ways to make things better. It specifically attempts to avoid blame, and to create systems to prevent errors from happening. • QI activities can be very helpful in improving how things work. Trying to find where the “defect” in the system is, and figuring out new ways to do things can be challenging and fun. It’s a great opportunity to “think outside the box.” 17

QUALITY IMPROVEMENT

implementation • 5 crucial activities to continual improvement :

1

maintain communication

2

correct obvious problems

All improvement should be planned improvement. It is important to share information before, during and after attempting to make improvements.

Study & research of the problems are required in order to identify the problems and to find solutions to them.

4

5

document problems and progress

A fundamental rule for any improvement program is to document the problems and progress.

3

look upstream

Must look for the causes of problems and not symptoms to problems.

monitor changes

To ensure the right steps were taken to solve quality problems, or it may produce unintended consequences.

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QUALITY IMPROVEMENT

implementation :: example

KAIZEN

•

A concept of continual improvement

•

Making changes for the better on a continual basis

change

•

Improvement aspect involves :

good

people

•

•

process

products

Action is taken immediately on the shop floor without hours of analysis. Results are evident in only days.

Goal : to identify waste by forcing production problems to surface so that they become visible for everyone to see. Once identified, such problems are solved with worker consensus.

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QUALITY IMPROVEMENT

implementation :: example

KAIZEN E L E M E N T S

customer focus teamwork just-in-time quality circles automation labor/management cooperation total productive maintenance 20

QUALITY IMPROVEMENT

implementation :: example

Kaizen Rules 1) Spend no money 2) Add no people 3) Add no space This is a continuous process. As soon as one set of problems are solved, new problems surface which must be overcome. By going through this process, the production system becomes stronger and stronger/

TYPICAL RESULT OF KAIZEN 1) 65% reduction in work-in-process 2) 45% improvement in throughput time (leadtime) 3) 50% reduction in manufacturing space

In business management, kaizen is now used internationally, modified by each culture to best suit their own business environments. A literal translation of kaizen could be "to become good through change".

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QUALITY IMPROVEMENT

implementation :: example

KAIZEN

1 SEIRI straighten-up

Eliminate unnecessary items from the workplace

5 STEP PLAN (also known as 5S)

2 SEITON put things in order

Specify a location for everything. Put things where they belong.

3 SEISO clean up

Thoroughly clean the work area or work place.

4 SEIKETSU 5 SHITSUKE personal cleanliness

Standardize best practices in the work area.

discipline

Learn correct practices and make sure you use them. 22

QUALITY IMPROVEMENT

KAIZEN PRACTISE

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QUALITY IMPROVEMENT

KAIZEN PRACTISE

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QUALITY IMPROVEMENT

KAIZEN PRACTISE

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QUALITY IMPROVEMENT

KAIZEN PRACTISE

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QUALITY IMPROVEMENT

KAIZEN PRACTISE

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QUALITY IMPROVEMENT

implementation An example : FADE MODEL example.

FOCUS: Define and verify the process to be improved

ANALYZE: Collect and analyze data to establish baselines, identify root causes and point toward possible solutions

DEVELOP: Based on the data, develop

action plans for improvement, including implementation, communication, and measuring/monitoring

EXECUTE: Implement the action plans, on a pilot basis as indicated, and

EVALUATE: Install an ongoing measuring/monitoring (process control) system to ensure success.

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QUALITY IMPROVEMENT

implementation An example : FADE MODEL example. John is the owner of a motel. • Using a FADE model John FOCUSED on the linens cycle of housekeeping. • He ANALYZED the way linens were handled and found that the laundering process seemed to be inefficient. • He DEVELOPED a step-by-step process for washing, drying, folding, and storing the linens which he expected would speed up the process and eliminate wasted effort. • He then EXECUTED the process with his staff and will EVALUATE for effectiveness on a weekly basis. This is a cyclic process. Once you’ve made a change, you start all over again: You evaluate the impact of your change You focus down further You analyze the problem to find the root cause(s) Then develop methods for further improvement And execute and evaluate again! Repeat the process until the goal is achieved.

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QUALITY IMPROVEMENT

implementation Common problems during implementation of QI activity :

• • • • • • • • • • •

Total quality activity is only regarded as a program. Short term result are not obtained Process is not driven by focus on customer connection to strategic issues and support from senior management. Structural elements block change Goals are set too low Command and control organizational culture Training not properly addressed Focus more on products, but not processes Organization too successful and complacent (self-satisfied) Organization fails to address fundamental questions Senior management is not committed. 30

QUALITY IMPROVEMENT

implementation Management essential role in ensuring the success of QI:

•

• •

• •

As elaborated in slide 18.

Training, education & awareness should be an ongoing activity to facilitate QI activity Encourage commitment HOW? ..:: Establish company-wide council on quality improvement activity. ..:: Moral and physical support

Thorough planning to ensure successful execution. Award and recognition (such as promotion, pay increase, and reward system)

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EMGT303 : QUALITY MANAGEMENT IN ORGANIZATION

summary “Inspection with the aim of finding the bad ones and throwing them out is too late, ineffective, costly. Quality comes not from inspection but from improvement of the process."

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EMGT303 : QUALITY MANAGEMENT IN ORGANIZATION

summary • • • • •

• • •

QC, QA and QI is an important activity to ensure that the products / services provided meets the customer expectations. Many tools available as a guidance to drive quality related activity. Quality should be viewed as a journey Therefore, success takes time. Progress of any quality activity shall be assessed / monitored and being used as the input and basis for the next improvement activity. Internal best practice shall be shared as internal benchmarking. Poor labor management relations must be resolved Fear of change must be removed from the organization to ensure success in the implementation of quality related activity.

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EMGT303 : QUALITY MANAGEMENT IN ORGANIZATION

references Quality Management in Organization, InEd module http://www.wisegeek.com/ http://en.wikipedia.org/wiki/Quality_control http://en.wikipedia.org/wiki/Quality_assurance http://en.wikipedia.org/wiki/Quality_management http://www.unizg.hr/tempusprojects/glossary.htm http://www.eskimo.com/~mighetto/lsbench.htm http://membres.lycos.fr/hconline/kaizen_us.htm http://chohmann.free.fr/

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