Quality Management and International Standards

TQM Tools that Generate Ideas

1. Check Sheet (organized method of recording data) 2. Scatter Diagram (graph of the value of one variable vs. another variable) 3. Cause and effect diagram

Implications of Quality

1. Company reputation 2. Product Liability 3. Global Implications

Philosophy behind Just-in-time

1. Continuing improvement and enforced problem solving 2. Producing or delivering goods just as they are needed

7 Concepts for an Effective TQM Program

1. Continuous improvement 2. Six Sigma 3. Employee empowerment 4. Benchmarking 5. Just-in-time (JIT) 6. Taguchi concepts 7. Knowledge of TQM tools

ISO 400 Contains 5 Core Elements

1. Environmental Management 2. Auditing 3. Performance Evaluation 4. Labeling 5. Life Cycle Assesment

Tools for Identifying Problems

1. Histogram (distribution showing the frequency of occurences of a variable) 2. Statistical process control chart

Tools for Organizing the Data

1. Pareto Chart 2. Flowchart

4 Major categories of Cost

1. Prevention costs 2. Appraisal costs 3. Internal failure 4. External costs

Determinants of Service Quality

1. Reliability 2. Responsiveness 3 .Competence 4. Access Courtesy 5. Communication 6. Credibility 7. Security 8. Understanding/knowing the customer 9. Tangibles

2 Ways that Quality Improves Profitability

1. Sales gains via improved response, price flexibility, increased market share, and/or improved reputation 2. Reduced costs via increased productivity, lower rework and scrap costs, and/or lower warranty costs

2 Most Well-Known Quality Awards

1. U.S.: Malcom Baldridge National Quality Award, named after a former secretary of commerce 2. Japan: Deming Prize, named after an American, Dr. W. Edwards Deming

4 Leaders in the Field of Quality Management

1. W. Edwards Deming 2. Joseph M. Juran 3. Armand Feigenbaum 4. Philip B. Crosby

PDCA

A continuous improvement model of plan, do, check, act.

Quality Circle

A group of employees meeting regularly with a facilitator to solve work-related problems in their work area

Quality Loss Function

A mathematical function that identifies all costs connected with poor quality and shows how these cost increase as product quality moves from what the customer wants

Inspection

A means of ensuring that an operation is producing at the quality level expected

Target Oriented Quality

A philosophy of continuous improvement to bring a product exactly on target

Statistical Process Control

A process used to monitor standards, make measurements, and take corrective action as a product or service is being produced

Six Sigma

A program to save time, improve quality, and lower costs

Cause and Effect Diagram

A schematic technique used to discover possible locations of quality problems

ISO 14000

A series of environmental management standards established by the International Organization for Standardization

ISO 9000

A set of quality standards developed by the International Organization for Standardization

Attribute Inspection

An inspection that classifies items as being either good or detective

Flowcharts

Block diagrams that graphically describe a process or system

Variable Inspection

Classifications of inspected items as falling on a continuum scale, such as dimension, or strength.

Source Inspection

Controlling or monitoring at the point of production or purchase - all the source.

Employee Empowerment

Enlarging employee jobs so that the added responsibility and authority is moved to the lowest level possible in the organization

Control Charts

Graphic presentations of process data over time, with predetermined control limits

Pareto Charts

Graphics that identify the few critical items as opposed to many less important ones

Managing Quality

Helps build successful strategies of differentiation, low cost, and response

Poka-yoke

Literally translated "foolproof"; it has come to mean a device or technique that ensures the production of a good unit every time

Total Quality Management

Management of an entire organization so that it excels in all aspects of products and services that are important to the customer

Quality Robust

Products that are consistently built to meet customer needs in spite of adverse conditions in the production process

Benchmarking

Selecting a demonstrated standard of performance that represents the very best performance for a process or an activity

Quality

The ability of a product or service to meet customer needs

Cost of Quality

The cost of doing things wrong - that is, the price of noncoformance

Service Recovery

Training and empowering frontline workers to solve a problem immediately