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# Tools of total quality management

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### Tools of total quality management

1. 1. TOTAL QUALITY MANAGEMENT TOOLS
2. 2. PARETO PRINCIPLE <ul><li>for many events roughly 80% of the effects come from 20% of the causes </li></ul><ul><li>The original observation was in connection with income and wealth. Vilfredo Pareto noticed that 80% of Italy's wealth was owned by 20% of the population. </li></ul>
3. 3. PARETO PRINCIPLE <ul><li>We can apply the 80/20 Rule to almost anything, from the science of management to the physical world </li></ul><ul><li>Project Managers know that 20 percent of the work (the first 10 percent and the last 10 percent) consume 80 percent of your time and resources </li></ul>Distribution of world GDP, 1989 1.2% Poorest 20% 1.4% Fourth 20% 2.3% Third 20% 11.7% Second 20% 82.7% Richest 20% Income Quintile of Population
4. 4. Scatter Plots <ul><li>show how much one variable is affected by another </li></ul><ul><li>the relationship between two variables is called their correlation </li></ul><ul><li>usually consist of a large body of data </li></ul><ul><li>the closer the data points come when plotted to making a straight line, the higher the correlation between the two variables, or the stronger the relationship </li></ul>
5. 5. Scatter Plots <ul><li>If the data points make a straight line going from the origin out to high x- and y-values, then the variables are said to have a positive correlation. </li></ul><ul><li>If the line goes from a high-value on the y-axis down to a high-value on the x axis, the variables have a negative correlation. </li></ul>
6. 6. Scatter Plots <ul><li>Scatter Plots are useful in the early stages of analysis when exploring data before actually calculating a corelation coefficient or fitting a regression curve. </li></ul><ul><li>A Scatter Plot can help one to determine whether a linear regression model is appropiate. </li></ul>
7. 7. Flow Chart <ul><li>Pictures, symbols or text coupled with lines, arrows on lines show direction of flow </li></ul><ul><li>Enables modelling of processes </li></ul><ul><li>Develops a common understanding of a process by those involved </li></ul><ul><li>No particular standardisation of symbology, so communication to a different audience may require considerable time and explanation. </li></ul>
8. 8. Flow Chart
9. 9. Flow Chart <ul><li>A flow chart can be used to: </li></ul><ul><li>Define and analyze processes; </li></ul><ul><li>Build a step-by-step picture of the process for analysis, discussion, or communication; </li></ul><ul><li>Define, standardize or find areas for improvement in a process </li></ul>