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Even non-quality trained personnel can learn it - hands-on

Transform mundane reports into quick-grab important informationfor management.

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- 1. By : Jamilah HaronContact email : jamilah.haron@gmail.com Lean Six Sigma Master Black Belt Member, American Society of Quality
- 2. Learning Objectives:• Hands-on learning of Quality Tools and Continuous Improvement Tools !• Learn TRANSFORM monthly reports to deliver more important informationinstantlyAgenda:10:30-11:15 : Process Flow Chart, Cause and Effect Diagram, Check sheet,Pivot Table11:15 – 12: 00 : Histogram, Pareto Chart, Scatter Plot, Stratification12:00 – 12:30 : Control Chart, Quality Tools in Reporting,12:30-1:00pm : Test
- 3. SEVENBASIC QUALITY TOOLS
- 4. Seven Basic Quality Tools"The Basic Seven."Build your quality journey and Process Improvement skills by mastering thesetools.1. Cause-and-effect diagram (also called Ishikawa or fishbone chart):Identifies many possible causes for an effect or problem and sorts ideas intouseful categories.2. Check sheet: A structured, prepared form for collecting and analyzing data;a generic tool that can be adapted for a wide variety of purposes.3. Histogram: The most commonly used graph for showing frequencydistributions, or how often each different value in a set of data occurs.
- 5. Seven Basic Quality Tools4. Pareto chart: Shows on a bar graph which factors are more significant.5. Scatter diagram: Graphs pairs of numerical data, one variable on each axis,to look for a relationship.6. Stratification : A technique that separates data gathered from a variety ofsources so that patterns can be seen (some lists replace "stratification" with"flowchart" or "run chart").7. Control charts : Graphs used to study how a process changes over time. Details of each Basic Quality Tools are provided in the Section “Quality Tool Box”
- 6. QUALITY TOOL BOX Flow Chart Cause and Effect Diagram Check Sheet Histogram Pareto Chart Scatter Diagram Stratification Control Chart
- 7. Quality Tool Box – Flow ChartFlowchartAlso called: process flowchart, process flow diagram.DescriptionA flowchart is a picture of the separate steps of a process in sequential order.Elements that may be included are: sequence of actions, materials or servicesentering or leaving the process (inputs and outputs), decisions that must bemade, people who become involved, time involved at each step and/or processmeasurements.The process described can be anything: a manufacturing process, anadministrative or service process, a project plan. This is a generic tool that canbe adapted for a wide variety of purposes.) to see if they agree that the process is drawn accurately.
- 8. Quality Tool Box - Flow ChartWhen to Use a Flowchart• To develop understanding of how a process is done.•To study a process for improvement.•To communicate to others how a process is done.•When better communication is needed between people involved with the sameprocess.•To document a process.•When planning a project.
- 9. Steps in Making Flow ChartFlowchart Basic ProcedureMaterials needed: Sticky notes or cards, a large piece of flipchart paper , markingpens.Steps• Define the process to be diagrammed. Write its title at the top of the work surface.• Discuss and decide on the boundaries of your process: Where or when does theprocess start? Where or when does it end? Discuss and decide on the level of detail tobe included in the diagram.• Brainstorm the activities that take place. Write each on a card or sticky note.Sequence is not important at this point, although thinking in sequence may helppeople remember all the steps.• Arrange the activities in proper sequence.• When all activities are included and everyone agrees that the sequence is correct,draw arrows to show the flow of the process.• Review the flowchart with others involved in the process (workers, supervisors,suppliers, customers
- 10. Flow Chart example Detailed Flow ChartHigh Level Flow Chart
- 11. Basic Quality Tool No 1 : Cause-and-Effect DiagramAlso called Fishbone Diagram, Ishikawa DiagramDescription•The fishbone diagram identifies many possible causes for an effect or problem.•It can be used to structure a brainstorming session.•It immediately sorts ideas into useful categories.When to Use a Fishbone Diagram• When identifying possible causes for a problem.• Especially when a team’s thinking tends to fall into ruts.
- 12. Basic Quality Tool No 1 : Cause-and-Effect Diagram Double Click on file to construct the diagram Fishbone Diagram Procedure Materials needed: flipchart or whiteboard, marking pens. Microsoft Office Excel 97-2003 Worksheet 5.Agree on a problem statement (effect). Write it at the center right of the flipchart or whiteboard. Draw a box around it and draw a horizontal arrow running to it. 2. Brainstorm the major categories of causes of the problem. If this is difficult use generic headings: Methods Machines (equipment) People (manpower) Materials Measurement Environment
- 13. Copy Paste diagram into Power Point slide
- 14. Basic Quality Tool No 1 : Cause-and-Effect Diagram MANUAL METHOD OPTIONAL. USE Fishbone Diagram Procedure - continuation EXCEL TEMPLATE 1. Write the categories of causes as branches from the main arrow. 3. Brainstorm all the possible causes of the problem. Ask: “Why does this happen?” As each idea is given, the facilitator writes it as a branch from the appropriate category. Causes can be written in several places if they relate to several categories. 5. Again ask “why does this happen?” about each cause. Write sub-causes branching off the causes. Continue to ask “Why?” and generate deeper levels of causes. Layers of branches indicate causal relationships. 9. When the group runs out of ideas, focus attention to places on the chart where ideas are few.
- 15. Basic Quality Tool No 1 : Example of Cause-and-Effect This fishbone diagram was drawn by a manufacturing team to try to understand the source of periodic iron contamination. The team used the six generic headings to prompt ideas. Layers of branches show thorough thinking about the causes of the problem. Major Categories Possible causesPossible causes? Sub-causes Sub-causes EFFECTPossible causes (Problem) Sub-causes Major Categories
- 16. Basic Quality Tool No 2 : Check sheetDescriptionA check sheet is a structured, prepared form for collecting and analyzing data.This is a generic tool that can be adapted for a wide variety of purposes.When to Use a Check Sheet•When data can be observed and collected repeatedly by the same person orat the same location.•When collecting data on the frequency or patterns of events, problems,defects, defect location, defect causes, etc.
- 17. Basic Quality Tool No 2 : Check sheetCheck Sheet Procedure•Decide what event or problem will be observed. Develop operationaldefinitions.•Decide when data will be collected and for how long.•Design the form. Set it up so that data can be recorded simply by makingcheck marks or Xs or similar symbols and so that data do not have to berecopied for analysis. MANUAL METHOD OPTIONAL. If using Excel, use•Label all spaces on the form. Pivot Table•Test the check sheet for a short trial period to be sure it collects theappropriate data and is easy to use.•Each time the targeted event or problem occurs, record data on the checksheet.
- 18. Basic Quality Tool No 2 : Check sheet ExampleThe figure below shows a check sheet used to collect data on telephoneinterruptions. The tick marks were added as data was collected over severalweeks.
- 19. Instead of using manual check sheet, we will use PivotTable to summarize large data. Make sure all Data Filter are not active
- 20. Instead of using manual check sheet, we will use PivotTable to summarize large data.
- 21. Instead of using manual check sheet, we will use PivotTable to summarize large data. The table format is ready ! Choose which ever information to be summarized
- 22. Instead of using manual check sheet, we will use PivotTable to summarize large data. Example ..Summary of Number of Cases by Branch Name
- 23. Basic Quality Tool No 3 : HistogramDescriptionA frequency distribution shows how often each different value in a set of dataoccurs. A histogram is the most commonly used graph to show frequencydistributions. It looks very much like a bar chart, but there are importantdifferences between them.When to Use a Histogram•When the data are numerical.•When you want to see the shape of the data’s distribution, especially whendetermining whether the output of a process is distributed approximatelynormally.•When analyzing whether a process can meet the customer’s requirements.•When seeing whether a process change has occurred from one time period toanother.
- 24. Basic Quality Tool No 3 : Histogram Double Click on file to construct Histogram. Note : Use “Paste Values”Histogram ConstructionCollect at least 50 consecutive data points from a process.Use the histogram worksheet to set up the histogram. Microsoft Office Excel 97-2003 WorksheetHistogram AnalysisBefore drawing any conclusions from your histogram, satisfy yourself that theprocess was operating normally during the time period being studied.If any unusual events affected the process during the time period of thehistogram, your analysis of the histogram shape probably cannot begeneralized to all time periods.Analyze the meaning of your histogram’s shape.
- 25. Basic Quality Tool No 3 : HistogramTypical Histogram Shapes and What They MeanNormal. A common pattern is the bell-shaped curve known as the “normaldistribution.” In a normal distribution, points are as likely to occur on one side ofthe average as on the other.Example : Distribution of heights (in cm) of all employees.
- 26. Basic Quality Tool No 3 : HistogramTypical Histogram Shapes and What They MeanSkewed. The skewed distribution is asymmetrical because a natural limitprevents outcomes on one side. The distribution’s peak is off center toward thelimit and a tail stretches away from it.For example, a distribution of analyses of time difference between employeesarriving at work (clock in time) and official company start time.Or , differences in actual turn around to resolve certain types of complaintscompared to goal for that segment.These distributions are called right- or left-skewed according to the direction ofthe tail. TAIL This is right-skewed since the tail is at our right
- 27. Basic Quality Tool No 3 : HistogramTypical Histogram Shapes and What They MeanDouble-peaked or bimodal.The bimodal distribution looks like the back of a two-humped camel.The outcomes of two processes with different distributions are combined in oneset of data.For example, a distribution of production data from a two-shift operation mightbe bimodal, if each shift produces a different distribution of results. Stratificationoften reveals this problem.
- 28. Basic Quality Tool No 4 : Pareto Chart or Pareto Analysis Based on 80-20 Rule : 80% of the problem is caused by 20% of the causes Description A Pareto chart is a bar graph. The lengths of the bars represent frequency or cost (time or money), and are arranged with longest bars on the left and the shortest to the right. In this way the chart visually depicts which situations are more significant. When to Use a Pareto Chart •When analyzing data about the frequency of problems or causes in a process. •When there are many problems or causes and you want to focus on the most significant. •When analyzing broad causes by looking at their specific components.
- 29. First Example of Pareto ChartExample 1 shows how many customer complaints were received in each of fivecategories of processes or departments.
- 30. Second Example of Pareto ChartExample 2 takes the largest category, “documents,” from Example #1, breaks itdown into six categories of document-related complaints, and shows cumulativevalues.If all complaints cause equal distress to the customer, working on eliminatingdocument-related complaints would have the most impact, and of those,working on quality certificates should be most fruitful.
- 31. Basic Quality Tool No 4 : Pareto Chart Double Click on file to construct Pareto ChartPareto Chart Procedure Note : Use “paste Values”Decide what categories you will use to group items. (Horizontal Axis or X Axis) Microsoft OfficeDecide what measurement is appropriate. Common measurements are Excel 97-2003 Worksheetfrequency, quantity, cost and time. (Vertical Axis or Y Axis)Decide what period of time the Pareto chart will cover: One work cycle? Onefull day? A week?Collect the data, recording the category each time. (Or assemble data thatalready exist.)Subtotal the measurements for each category.
- 32. MANUAL METHODBasic Quality Tool No 4 : Pareto Chart OPTIONAL. USE EXCEL TEMPLATEConstruct and label bars for each category.Place the tallest at the far left, then the next tallest to its right and so on. Ifthere are many categories with small measurements, they can be grouped as“other.”Steps 8 and 9 are optional but are useful for analysis and communication.Calculate the percentage for each category: the subtotal for that categorydivided by the total for all categories. Draw a right vertical axis and label itwith percentages.Calculate and draw cumulative sums: Add the subtotals for the first andsecond categories, and place a dot above the second bar indicating that sum.To that sum add the subtotal for the third category, and place a dot abovethe third bar for that new sum. Continue the process for all the bars.Connect the dots, starting at the top of the first bar. The last dot shouldreach 100 percent on the right scale.
- 33. Construct Pareto of M&M colors Produce a Pareto Chart of colors of M&M chocolate in a pack of M&M Compare differences between your colleagues 80% of your M&M content consists of what color?
- 34. Basic Quality Tool No 5 : Scatter DiagramAlso called: scatter plot, X–Y graphDescriptionThe scatter diagram graphs pairs of numerical data, with one variable on eachaxis, to look for a relationship between them. If the variables are correlated, thepoints will fall along a line or curve. The better the correlation, the tighter thepoints will hug the line.When to Use a Scatter Diagram•When you have paired numerical data.•When trying to determine whether the two variables are related, such as… •When trying to identify potential root causes of problems. •After brainstorming causes and effects using a fishbone diagram, to determine objectively whether a particular cause and effect are related. •When determining whether two effects that appear to be related both occur with the same cause.
- 35. Basic Quality Tool No 5 : Scatter Diagram Double Click on file to construct Scatter DiagramScatter Diagram Procedure•Collect pairs of data where a relationship is suspected.•Draw a graph with the independent variable on the Microsoft Office Excel 97-2003 Worksheehorizontal axis and the dependent variable on the verticalaxis. For each pair of data, put a dot or a symbol wherethe x-axis value intersects the y-axis value. (If two dotsfall together, put them side by side, touching, so that youcan see both.)•Look at the pattern of points to see if a relationship isobvious. If the data clearly form a line or a curve, youmay stop. The variables are correlated.
- 36. Basic Quality Tool No 5 : Scatter Diagram MANUAL METHOD OPTIONAL. USEScatter Diagram Procedure EXCEL TEMPLATE•Divide points on the graph into four quadrants. If there are X points on the graph, Count X/2 points from top to bottom and draw a horizontal line. Count X/2 points from left to right and draw a vertical line. If number of points is odd, draw the line through the middle point.•Count the points in each quadrant. Do not count points on a line.•Add the diagonally opposite quadrants. Find the smaller sum and the total of points in allquadrants.A = points in upper left + points in lower rightB = points in upper right + points in lower leftQ = the smaller of A and BN=A+B• Look up the limit for N on the trend test table. (next page) If Q is less than the limit, the two variables are related. If Q is greater than or equal to the limit, the pattern could have occurred from random chance.
- 37. MANUAL METHOD OPTIONAL. USEBasic Quality Tool No 5 : Scatter Diagram EXCEL TEMPLATE A = points in upper left + points in lower right B = points in upper right + points in lower left Scatter plot Q = the smaller of A and B N=A+B Next, with the N, look up Trend Test table to find Limit for that N • If Q is less than the limit, the two variables are related. • If Q is greater than or equal to the limit, the pattern could have occurred from random chance.
- 38. Basic Quality Tool No 5 : Example of Scatter Diagram OPTIONAL.The ZZ-400 manufacturing team suspects a relationship between productpurity (percent purity) and the amount of iron (measured in parts per million orppm).Purity and iron are plotted against each other as a scatter diagram, as shown inthe figure below.There are 24 data points.Median lines are drawn so that 12 points fall on each side for both percentpurity and ppm iron.
- 39. Basic Quality Tool No 5 : Example of Scatter Diagram MANUAL METHOD OPTIONAL. USE EXCEL TEMPLATE To test for a relationship, we calculate: A = points in upper left + points in lower right = 9 + 9 = 18 B = points in upper right + points in lower left = 3 + 3 = 6 Q = the smaller of A and B = the smaller of 18 and 6 = 6 N = A + B = 18 + 6 = 24 Then we look up the limit for N on the trend test table. For N = 24, the limit is 6. (See red circle on the Trend Test table - 2 pages before) Q , which is 6, is equal to the limit, which is also 6. Therefore, the pattern could have occurred from random chance, and no relationship is demonstrated.
- 40. Basic Quality Tool No 6 : Stratification (Categorization)DescriptionStratification is a technique used in combination with other data analysis tools.When data from a variety of sources or categories have been lumped together,the meaning of the data can be impossible to see. This technique separates thedata so that patterns can be seen.When to Use Stratification• Before collecting data.• When data come from several sources or conditions, such as shifts, days ofthe week, suppliers or population groups.• When data analysis may require separating different sources or conditions.
- 41. Basic Quality Tool No 6 : Stratification(CATEGORIZATION OF DATA) Stratification Procedure •Before collecting data, consider which information about the sources of the data might have an effect on the results. Set up the data collection so that you collect that information as well. •When plotting or graphing the collected data on a scatter diagram, control chart, histogram or other analysis tool, use different marks or colors to distinguish data from various sources.• Analyze the subsets of stratified data separately. •Data that are distinguished in this way are said to be “stratified.”
- 42. Example of Stratification – We want to reduce numberof complaints but looking at the data by RegionCount of Case DescriptionRD (Region) Total Number of Complaints 1 118 2 137 • Analyze the subsets of 3 47 stratified data (category) 4 68 separately. In this case, it’s 5 42 recommended to look at the 6 49 7 15 problem region by region. 8 18 9 20(blank)Grand Total 514
- 43. Basic Quality Tool No 7 : Control ChartAlso called: statistical process control (SPC)Description•The control chart is a graph used to study how a process changes over time.Data are plotted in time order.•A control chart always has a central line for the average, an upper line for theupper control limit and a lower line for the lower control limit.•These lines are determined from historical data.•By comparing current data to these lines, you can draw conclusions aboutwhether the process variation is consistent (in control) or is unpredictable (outof control, affected by special causes of variation).
- 44. Basic Quality Tool No 7 : Control ChartWhen to Use a Control Chart•When controlling ongoing processes by finding and correcting problems asthey occur.•When predicting the expected range of outcomes from a process.•When determining whether a process is stable (in statistical control).•When analyzing patterns of process variation from special causes (non-routine events) or common causes (built into the process).•When determining whether your quality improvement project should aim toprevent specific problems or to make fundamental changes to the process.
- 45. Basic Quality Tool No 7 : Control Chart Double Click on file to construct Control ChartControl Chart Basic Procedure• Choose the appropriate control chart for your data.• Determine the appropriate time period for collecting and plotting data.• Collect data, construct your chart and analyze the data. Microsoft Office• Look for “out-of-control signals” on the control chart. When one is identified, Worksheet Excel 97-2003mark it on the chart and investigate the cause.• Document how you investigated, what you learned, the cause and how it wascorrected. OPTIONAL TO MEMORIZE .. USE EXCEL TEMPLATE ANDOut-of-control signals CHEECK INDICATORS •A single point outside the control limits. In Figure 1, point sixteen is above the UCL (upper control limit). •Two out of three successive points are on the same side of the centerline and farther than 2 σ from it. In Figure 1, point 4 sends that signal. •Four out of five successive points are on the same side of the centerline and farther than 1 σ from it. In Figure 1, point 11 sends that signal. •A run of eight in a row are on the same side of the centerline. Or 10 out of 11, 12 out of 14 or 16 out of 20. In Figure 1, point 21 is eighth in a row above the centerline. •Obvious consistent or persistent patterns that suggest something unusual about your data and your process.
- 46. Basic Quality Tool No 7 : Control Chart•Continue to plot data as they are generated. As each new data point is plotted,check for new out-of-control signals.•When you start a new control chart, the process may be out of control. If so, thecontrol limits calculated from the first 20 points are conditional limits.•When you have at least 20 sequential points from a period when the process isoperating in control, recalculate control limits.
- 47. Applying Quality Tools to Reports
- 48. THANK YOU
- 49. ReferencesPrinciples of Quality Costs: Principles, Implementation, and Use, Third Edition, ed. Jack Campanella, ASQ Quality Press, 1999, pages 3-5.Duke Okes and Russell T. Westcott, Certified Quality Manager Handbook:Second Edition, ASQ Quality Press, 2001, pages 245-246.G. Dennis Beecroft, Grace L. Duffy, and John W. Moran,The Executive Guide to Improvement and Change, ASQ Quality Press, 2003,pages 17-19 Nancy R. Tague’s The Quality Toolbox, Second Edition, ASQ Quality Press, 2004

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