IX C USTOMER & C OMPETITIVE I NTELLIGENCE FOR S YSTEMS I NNOVATION & D ESIGN S IGMA S D EPARTMENT OF S TATISTICS D R. R ICK E DGEMAN, P ROFESSOR & C HAIR – S IX S IGMA B LACK B ELT REDGEMAN@UIDAHO.EDU OFFICE: +1-208-885-4410
IX S IGMA S D EPARTMENT OF S TATISTICS Q uality F unction D eployment
IX S IGMA S D EPARTMENT OF S TATISTICS a highly structured strategy for acquiring, assessing, and applying customer, competitor, and enterprise intelligence for the purposes of product, system or enterprise innovation and design.
Six Sigma COPIS M odel C ustomers S uppliers O utputs I nputs P rocess Steps The Voice of the Customer (VOC) is aggressively sought and rigorously evaluated and used to determine needed outputs and hence the optimal process configuration needed to yield those outputs and their necessary inputs for which the best suppliers are identified and allied with. From Concept to Market: the Voice of the Customer How does Six Sigma Work?
Kano Customer Need Model Delighted Disgusted Absent Fully Implemented Stakeholder Satisfaction TIME Degree of Execution
K ano C ustomer N eed M odel New or Innovative features that customers do not expect. The presence of such unexpected features leads to high perceptions of quality. Exciters / Delighters Needs that customers SAY THEY WANT. Fulfilling these needs creates satisfaction. Satisfiers Those needs that are EXPECTED in a product or service. These are generally not stated by customers but are assumed as given. If they are not present, the customer is dissatisfied. Dissatisfiers
COMPETENCE : the right skills and knowledge required
COURTESY : supplier’s behavior
SECURITY : freedom from danger or risk
ACCESS : ease of making contact
COMMUNICATION : understandable to the customer
EMPATHY : adopting the customer’s viewpoint
D efine C ontrol I mprove A nalyze M easure S ix S igma I nnovation & the DMAIC Algorithm D efine the problem and customer requirements. M easure defect rates and document the process in its current incarnation. A nalyze process data and determine the capability of the process. I mprove the process and remove defect causes. C ontrol process performance and ensure that defects do not recur.
out 20-24 months out 14-17 months out 1-3 months market introduction in production 3 months Japanese/US Engineering Change Comparison Design Changes Japanese (Using QFD) United States (Not Using QFD) I nnovation & QFD Introduction of First Product Time QFD Can Reduce Both Costs and Start-Up Time
" A group of courageous people working in harmony pursuing the finest detail to unlock the organization and roll out products that the multitudes in the marketplace will value." Glenn Mazur Hin Shitsu Ki No Ten Kai Quality Function Deployment
Quality Function Deployment
Is a structured method that is intended to transmit and translate customer requirements, that is, the
Voice of the Customer
through each stage of the product development and production process, that is, through the product realization cycle.
These requirements are the collection of customer needs, including all satisfiers, exciters/delighters, and dissatisfiers.
A systematic way of documenting and breaking down customer needs into manageable and actionable detail.
A planning methodology that organizes relevant information to facilitate better decision making.
A way of reducing the uncertainty involved in product and process design.
A technique that promotes cross-functional teamwork.
A methodology that gets the right people together, early, to work efficiently and effectively to meet customers’ needs.
Creative Definitions of QFD
Key Thought Throughout Quality Function Deployment is a Valuable Decision Support Tool, But it is Not a Decision Maker
What Does QFD Do? Better Designs in Half the Time! QFD Is a Productivity Enhancer CUSTOMER CONCEPT Plan Design Redesign Manufacture Plan Design Redesign Manufacture Benefits “ Traditional Timeline”
Why Does QFD Work? TIME The Quality Lever 1:1 10:1 100:1 PROCESS DESIGN PRODUCTION PRODUCT DESIGN IMPROVE PRODUCT HIGH VISIBILITY HIGH REWARD LOW VISIBILITY LOW REWARD
Poor communications and expectations get lost in the complexity of product development.
Lack of structure or logic to the allocation of product development resources.
Lack of efficient and / or effective product / process development teamwork.
Extended development time caused by excessive redesign, problem solving, or fire fighting.
When is QFD Appropriate?
Brief History of QFD Origin - Mitsubishi Kobe Shipyard 1972 Foundation - Belief That Products Should Be Designed To Reflect Customer Desires and Tastes
Developed By Toyota and Its Suppliers
Expanded To Other Japanese Manufacturers
Consumer Electronics, Home Appliances, Clothing, Integrated Circuits, Apartment Layout Planning
Adopted By Ford and GM in 1980s
Digital Equipment, Hewlett-Packard, AT&T, ITT
The House of Quality
Establishes the Flowdown
Relates WHAT'S & HOW'S
Ranks The Importance
Quality Function Deployment’s House of Quality Customer Perceptions Relationships between Customer Needs and Design Attributes Importance Rankings Customer Needs Design Attributes Costs/Feasibility Engineering Measures Correlation Matrix 1 2 3 4 5 6 7 8
Two Types of Elements in Each House
The House of Quality
QFD Flowdown Flowdown Relates The Houses To Each Other Levels Of Granularity Customer Wants Technical Requirements Part Characteristics Manufacturing Process Production Requirements Manufacturing Environment Customer Wants Product Functionality System Characteristics Design Alternatives Software Environment Customer Wants Service Requirements Service Processes Process Controls Service Environment
Building the House of Quality
Identify Customer Attributes
Identify Design Attributes / Requirements
Relate the customer attributes to the design attributes.
Conduct an Evaluation of Competing Products.
Evaluate Design Attributes and Develop Targets.
Determine which Design Attributes to Deploy in the Remainder of the Process.
1. Identify Customer Attributes
These are product or service requirements IN THE CUSTOMER’S TERMS .
“ What does the customer expect from the product?”
“ Why does the customer buy the product?”
Salespeople and Technicians can be important sources of information – both in terms of these two questions and in terms of product failure and repair.
OFTEN THESE ARE EXPANDED INTO Secondary and Tertiary Needs / Requirements.
Need 1 Need 2 Need 3 Need 4 Need 5 Need 6 Need 7 Key Elements - “Whats” Voice of the Customer Whats
What Does The Customer Want
5 5 3 4 2 4 1 Key Elements: Customer Requirements Voice of the Customer
How Important Are The What’s TO THE CUSTOMER
Customer Ranking of their Needs
Customer Importance Need 1 Need 2 Need 3 Need 4 Need 5 Need 6 Need 7
2. Identify Design Attributes.
Design Attributes are Expressed in the Language of the Designer / Engineer and Represent the TECHNICAL Characteristics (Attributes) that must be Deployed throughout the DESIGN , MANUFACTURING , and SERVICE PROCESSES .
These must be MEASURABLE since the Output will be Controlled and Compared to Objective Targets.
The ROOF of the HOUSE OF QUALITY shows, symbolically, the Interrelationships between Design Attributes.
HOW 1 HOW 2 HOW 3 HOW 4 HOW 5 HOW 6 HOW 7 Key Elements - “How’s” Satisfy the Customer Needs
How Do You Satisfy the Customer What’s
Translation For Action
Hows Need 1 Need 2 Need 3 Need 4 Need 5 Need 6 Need 7 5 5 3 4 2 4 1 WHAT'S HOW'S
Information – Correlation Matrix Conflict Resolution Correlation Matrix Need 1 Need 2 Need 3 Need 4 Need 5 Need 6 Need 7 5 5 3 4 2 4 1 HOW 1 HOW 2 HOW 3 HOW 4 HOW 5 HOW 6 HOW 7 57 41 48 13 50 6 21 65 45 21 36 8 52 4 3 lbs 12 in. 3 mils 40 psi 3 8 atm 1 mm
Impact Of The How’s On Each Other
Strong Positive Positive Negative Strong Negative H H H H L M M M M M M L L L L L
3.Relating Customer & Design Attributes
Symbolically we determine whether there is NO relationship, a WEAK one, MODERATE one, or STRONG relationship between each Customer Attribute and each Design Attribute.
The PURPOSE it to determine whether the final Design Attributes adequately cover Customer Attributes.
LACK of a strong relationship between A customer attribute and any design attribute shows that the attribute is not adequately addressed or that the final product will have difficulty in meeting the expressed customer need.
Similarly, if a design attribute DOES NOT affect any customer attribute, then it may be redundant or the designers may have missed some important customer attribute.
Key Elements: Relationship Untangling The Web
Strength of the Interrelation Between the What’s and the How’s
H Strong 9
M Medium 3
L Weak 1
Y = f(X)
Relationship Need 1 Need 2 Need 3 Need 4 Need 5 Need 6 Need 7 5 5 3 4 2 4 1 HOW 1 HOW 2 HOW 3 HOW 4 HOW 5 HOW 6 HOW 7 H H H H L M M M M M M L L L L L
4. Add Market Evaluation & Key Selling Points
This step includes identifying importance ratings for each customer attribute AND evaluating existing products / services for each of the attributes.
Customer importance ratings represent the areas of greatest interest and highest expectations AS EXPRESSED BY THE CUSTOMER.
Competitive evaluation helps to highlight the absolute strengths and weaknesses in competing products.
This step enables designers to seek opportunities for improvement and links QFD to a company’s strategic vision and allows priorities to be set in the design process.
5. Evaluate Design Attributes of Competitive Products & Set Targets.
This is USUALLY accomplished through in-house testing and then translated into MEASURABLE TERMS.
The evaluations are compared with the competitive evaluation of customer attributes to determine inconsistency between customer evaluations and technical evaluations.
For example, if a competing product is found to best satisfy a customer attribute, but the evaluation of the related design attribute indicates otherwise, then EITHER the measures used are faulty, OR else the product has an image difference that is affecting customer perceptions.
On the basis of customer importance ratings and existing product strengths and weaknesses, TARGETS and DIRECTIONS for each design attribute are set.
Information: How Much 3 lbs 12 in. 3 mils 40 psi 3 8 atm 1 mm Consistent Comparison
Target Values for the How’s
Note the Units
How Much Need 1 Need 2 Need 3 Need 4 Need 5 Need 6 Need 7 5 5 3 4 2 4 1 HOW 1 HOW 2 HOW 3 HOW 4 HOW 5 HOW 6 HOW 7 57 41 48 13 50 6 21 65 45 21 36 8 52 4 H H H H L M M M M M M L L L L L
Information : Target Direction The Best Direction
Information On The HOW'S
More Is Better
Less Is Better
HOW 1 HOW 2 HOW 3 HOW 4 HOW 5 HOW 6 HOW 7 Target Direction Need 1 Need 2 Need 3 Need 4 Need 5 Need 6 Need 7 5 5 3 4 2 4 1 57 41 48 13 50 6 21 65 45 21 36 8 52 4 H H H H L M M M M M M L L L L L
6. Select Design Attributes to be Deployed in the Remainder of the Process
This means identifying the design attributes that:
have a strong relationship to customer needs,
have poor competitive performance,
or are strong selling points.
These attributes will need to be DEPLOYED or TRANSLATED into the language of each function in the design and production process so that proper actions and controls are taken to ensure that the voice of the customer is maintained.
Those attributes not identified as critical do not need such rigorous attention.
Technical Importance CI Need 1 Need 2 Need 3 Need 4 Need 5 Need 6 Need 7 5 3 4 2 4 1 HOW 1 HOW 2 HOW 3 HOW 4 HOW 5 HOW 6 HOW 7 36 45 36 45 1 6 15 M 9 9 12 4 5 5 3 2 TI = column ( CI *Strength)
65 45 21 36 8 52 4 Key Elements : Completeness Have We Captured the HOW'S
Are All The How’s Captured
Is A What Really A How
Completeness Criteria CI Need 1 Need 2 Need 3 Need 4 Need 5 Need 6 Need 7 5 3 4 2 4 1 HOW 1 HOW 2 HOW 3 HOW 4 HOW 5 HOW 6 HOW 7 57 41 48 13 50 6 21 H H H H L M M M M M M L L L L L CC = row ( CI *Strength)
Using the House of Quality The voice of the customer MUST be carried THROUGHOUT the production process. Three other “houses of quality” are used to do this and, together with the first, these carry the customer’s voice from its initial expression, through design attributes, on to component attributes, to process operations, and eventually to a quality control and improvement plans. In Japan, all four are used. The tendency in the West is to use only the first one or two.
Customer Attributes Design Attributes 1 2 3 4 Design Attributes Component Attributes Component Attributes Process Operations Process Operations Quality Control Plan The How’s at One Level Become the What’s at the Next Level
The Four Houses of Quality The Cascading Voice of the Customer NOTES : “ Design Attributes” are also called “Functional Requirements” “ Component Attributes” are also called “Part Characteristics” “ Process Operations” are also called “Manufacturing Processes” and the “Quality Control Plan” refers to “Key Process Variables. WHATS HOWS X Y Critical to Quality Characteristics (CTQs) Key Manufacturing Processes Key Process Variables
QFD On Everything
Set the “Right” Granularity
Don’t Apply To Every Last Project
Lack of Teamwork
Lack of Team Skills
Lack of Support or Commitment
Too Much “Chart Focus”
“ Hurry up and Get Done”
Failure to Integrate and Implement QFD
Common QFD Pitfalls
The “Static” QFD
Review Current Status
At Least Quarterly
Monthly on 1 Yr Project
Weekly on Small Projects
Need 1 Need 2 Need 3 Need 4 Need 5 Need 6 Need 7 5 5 3 4 2 4 1 H H H H L M M M M M M L L L L L HOW 1 HOW 2 HOW 3 HOW 4 HOW 5 HOW 6 HOW 7 57 41 48 13 50 6 21 65 45 21 36 8 52 4 3 lbs 12 in. 3 mils 40 psi 3 8 atm 1 mm 65 45 21 36 8 52 4
The process may look simple, but requires effort.
Many entries look obvious—after they’re written down.
If there are NO “tough spots” the first time: It Probably Isn’t Being Done Right!!!!
Focus on the end-user customer.
Charts are not the objective. Charts are the means for achieving the objective .
Find reasons to succeed, not excuses for failure.
Remember to follow-up afterward
Points to Remember
IX S IGMA S D EPARTMENT OF S TATISTICS E nd of S ession