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Dr. Feigenbaum, Dr. Deming, Dr. Juran,
Jim Harrington and Dr. Taguchi
Chapter 3
Philosophies & Frameworks
P i r z a d a
Deming Philosophy
Dr. W. Edwards Deming
1900-1993
Ph. D., (Physics)
Work: Taught Statistical Quality Control
USA/ Japan
Top management leadership
Customer supplier partnership
Continuous improvement
- Chain reaction theory (see Fig 3.1 Page 94)
1980: “If Japan Can Why Can’t We”
Philosophy of reducing variability
A System of Profound Knowledge
Basis of Deming’s 14 Points
1. Appreciation for a system
2. Understanding of variation
3. Theory of knowledge
4. Psychology
First Pillar of Deming Philosophy
System
 When subsystems are interacting, parts of the system
can’t be managed in isolation.
 Cross functional nature of processes should be
understood
 All the processes should be aligned towards a
common vision and goal.
 In the long run every stakeholder should be a
beneficiary of the system.
First Pillar of Deming Philosophy
 Internal cooperation is the key to the
optimization of over all performance.
Performance of the individual
depends on many factors including
 The training received
 The information and resources provided
 The leadership of supervisors and managers
 Disruption on the job
 Management policies and practices
The aim of any
system should
be for all
stakeholders-
stockholders,
employees,
customers,
community, and
the environment
- to benefit over
the long term.
2nd Pillar of Deming Philosophy
Variation
Sources
Technology
Human behavior
Performance
Understanding
Reducing/ SQC
Higher productivity &
Customer satisfaction
3rd Pillar of Deming Philosophy
Theory of Knowledge
 No knowledge is possible without theory
 Understanding the assumptions and theory
behind SQC tools is vital to applying
them correctly.
 Using cook book approach, self-help books
and jumping on latest popular
approaches without understanding may
lead to disaster.
4th Pillar of Deming Philosophy
Psychology
People differ from one another,
But all need love, dignity and esteem
 Psychology helps us to understand people
 People can be motivated extrinsically or intrinsically. The later
being more powerful.
 Pay and fear are not the motivators.
Peter Scholtes on Impacts of knowledge
When people don’t understand systems
See events as individual incidents Ignore interactions and
interdependency
See symptoms Fail to understand deep rooted causes
Expect reaction only in a subsystem Can’t foresee the havoc generated in
another section
Blame Individuals Individuals have little or no ability
“It takes a whole village to raise a child”
Peter Scholtes on Impacts of knowledge
When people don’t understand variation
Fail to see trends
See trends where there are none
Have unrealistic expectations
Can’t make best of experiences
Can’t differentiate between prediction, forecasting and guessing
Credit/ blame non-deserving people
Cant differentiate between fact and opinion.
Peter Scholtes on Impacts of knowledge
When people don’t understand psychology
Don’t understand why people do what they do.
Fail to motivate and impair the relationships
Don’t understand the process of change and resistance
Revert to coercive approach
Create cynicism, demotivation guilt, resentment.
Peter Scholtes on Impacts of knowledge
When people don’t understand Theory of
Knowledge
Can’t plan, accomplish and improve.
Can’t differentiate improvement and change
Problems remain unsolved
Deming’s 14 Points
Point 1: Create vision, demonstrate commitment
Point 2: Learn new philosophy (customer satisfaction)
Point 3: Understand inspection
Point 4: Stop making decisions on the basis of cost
Point 5: Improve constantly and forever
Point 6: Institute training
Point 7: Institute leadership (guidance)
Deming Philosophy
Point 8: Drive out fear
Point 9: Optimize the effect of teams
Point 10: Eliminate exhortations
Point 11: Eliminate numerical quotas and MBO*
Point 12: Remove barriers to pride in workmanship
Point 13: Encourage education and self-Improvement
Point 14: Take action (change organizational culture)
*MBO: Management by Objectives
Continual Improvement
.
http://elsmar.com/pdf_files/DemingPDCA.gif
Dr. Joseph Juran
(1904- )
Industrial Engineer
Quality: Fitness for use
Improving quality by working
within the system
Conformance
(Customer satisfaction)
Using SQC
Juran Philosophy
Quality Trilogy
Quality planning: High design quality
- Identifying customers, (external & internal)
Quality control: meeting goals during operations
- reducing variation, establishing standards
Quality improvement: unprecedented levels of performance
- data analysis and action
Focusing on Customers
What to control?
1. Identifying & reducing sources of variation.
2. Establishing standards of performance.
3. Interpreting and taking action.
Juran gave a specified and detailed program
Fear can bring out the best in the people
PHILIP B CROSBY
PHILIP B CROSBY
(1926-2001)
Book: Quality is Free
Work: ITT
Philosophy
Absolutes of Quality Management
Basic elements of Improvement
CROSBY Philosophy
Absolutes of Quality Management
Quality means conformance, not elegance.
There is no such thing as quality problem.
- problems originate at functional departments not in quality department.
There is no such thing as economics of quality
-doing the things right first time is always cheaper
The only performance measurement is the cost of quality:
- which is the expense of non-conformance
The only performance standard is “Zero Defects (ZD)”
CROSBY Philosophy
ZD is not a motivational program.
- it is a performance standard.
Do it right the first time!
People are conditioned to believe that error is inevitable.
Most human errors are caused by lack of attention.
(Juran & Deming disagree on being perfect!)
Determination, education and implementation!
CROSBY Philosophy
.
A.V. Feigenbaum
Dr. A.V. Feigenbaum
Book: Quality Control: Principles,
Practices and Administration
Work: General Electric
Philosophy: Total Quality Control
Quality is a Strategic business tool that requires
involvement from everyone in the organization.
Feigenbaum Philosophy
Total Quality Control
“… an effective system for integrating the quality
development, quality maintenance, and quality
improvement efforts of the various groups in the
organization so as to enable production and services
at the most economical levels which allow full
customer satisfaction”
‘Cost of quality’ should be used as a tool for
measurement and evaluation of quality.
Feigenbaum Philosophy
Three Steps to Quality
1. Quality Leadership
- sound planning, constant focus
2. Modern Quality Technology
- integration of modern technology
3. Organizational Commitments
- continuous training and motivation
Kaora Ishikawa
Kaora Ishikawa
( 1915 -1989)
Foremost figure in Japanese Quality
Professor of Engineering, Tokyo University
Editor: Quality Control for Foremen
Philosophy
Factual data, visual tools, statistical
tools are foundations of implementing
total quality.
Ishikawa Philosophy
1. Quality begins with Education and ends with
education
2. The first step in quality is to know the
requirements of the customers
3. The ideal state of Quality Control occurs when
inspection is no longer necessary
4. Remove the root cause and not the symptoms
5. Quality Control is the responsibility of all
workers and all divisions.
Kaora Ishikawa
6. Do not confuse means with the objectives
7. Put quality first and set your sights on long-term
profits
8. Marketing is the entrance and exit of quality
9. Top management must not show anger when facts
are presented by subordinates
10. 95% of problems in a company can be solved
with simple tools for analysis and problem
solving
11. Data without dispersion information are false
data.
Genichi Taguchi
Genichi Taguchi
Philosophy
 Concept of conformance is flawed
 Economic value of reducing
variation
http://lssacademy.com/2007/04/15/taguchi-loss-function/
Taguchi Philosophy
Taguchi Loss Function
“… that estimates the quality loss, expressed monetarily, that
results when quality characteristics deviate from the target values.
The cost of this deviation increases quadratically as the
characteristic moves farther from the target value”.
- Ducan, William, Total Quality Key Terms. p. 171
.
Quality Gurus
Review
1. Which areas are vague?
2. Where is it unrealistic?
3. Is it a comprehensive model?
4. What are the strongest and most
useful aspects of the philosophy?
5. Similarities and differences
Quality Management Awards
The Malcolm Baldrige National Quality Award
 Stimulate American companies to improve quality
and productivity
 Recognize the achievements
 Establish guidelines and criteria
 Provide specific guidance for high quality
The Criteria for Performance Excellence
Hierarchical set of categories
Hierarchical set of categories
1. Leadership
2. Strategic planning
3. Customer and market focus
4. Measurement, Analysis, & Knowledge Management
5. Human Resource Focus
6. Process Management
7. Business Results
Baldrige Criteria Framework
.
Criteria Evolution
Year Items Areas
1988 62 278
1991 32 99
1995 24 54
1997 20 30
1999 Reworded/
Question format
Criteria Evolution
From To
Quality assurance, strategic
quality planning
Process management, overall
strategic planning
Current customers Current & future customers
Human resource utilization Human resource development
Supplier quality Supplier partnerships
Quality improvement activities Improvements in all key areas
Data analysis of quality efforts Integrated review of company
Financial performance (Business + customer +
financial + strategic)
Performance
ISO 9000: 2000
ISO 9000 Fundamentals/ vocabulary
ISO 9001 Requirements to obtain a third party certification
1. Management responsibility
2. Resource management
3. Product realization
4. Measurement, analysis, improvement
ISO 9004 Guidelines for performance improvement
Areas: Electronics, chemicals, health care, banking ….
ISO 9000: 2000
New Standards
1. Customer focus
2. Leadership
3. Involvement of people
4. Process approach
5. System approach to management
6. Continual improvement
7. Factual approach to decision making
8. Mutually beneficial supplier relationships
Six Sigma
Key Business processes
Focus on overall strategic objectives
Quantifiable measures defects/ million opportunities
Identify crucial metrics
Extensive training
Create highly qualified process improvement experts
Set stretch objectives for improvements
(Personal basis for champions)
Focusing on Customers
Potential areas
Waste reduction, solve equipment problems, create
capacity
Reduce cycle time in HR hiring
Improve forecast reliability, pricing strategies &
variation
Better understanding of customer needs
Focusing on Customers
Is it comprehensive?
Where is it vague?
Where is it unrealistic?
What are the strongest and most useful aspects of the philosophy?
Similarities and Differences with …
ISO 9000:2000 Standards
.
What
went
wrong?
T h ! n k

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Philosophies and Frameworks daniel pirzada

  • 1. Dr. Feigenbaum, Dr. Deming, Dr. Juran, Jim Harrington and Dr. Taguchi
  • 2. Chapter 3 Philosophies & Frameworks P i r z a d a
  • 3. Deming Philosophy Dr. W. Edwards Deming 1900-1993 Ph. D., (Physics) Work: Taught Statistical Quality Control USA/ Japan Top management leadership Customer supplier partnership Continuous improvement - Chain reaction theory (see Fig 3.1 Page 94) 1980: “If Japan Can Why Can’t We”
  • 4. Philosophy of reducing variability A System of Profound Knowledge Basis of Deming’s 14 Points 1. Appreciation for a system 2. Understanding of variation 3. Theory of knowledge 4. Psychology
  • 5. First Pillar of Deming Philosophy System  When subsystems are interacting, parts of the system can’t be managed in isolation.  Cross functional nature of processes should be understood  All the processes should be aligned towards a common vision and goal.  In the long run every stakeholder should be a beneficiary of the system.
  • 6. First Pillar of Deming Philosophy  Internal cooperation is the key to the optimization of over all performance. Performance of the individual depends on many factors including  The training received  The information and resources provided  The leadership of supervisors and managers  Disruption on the job  Management policies and practices The aim of any system should be for all stakeholders- stockholders, employees, customers, community, and the environment - to benefit over the long term.
  • 7. 2nd Pillar of Deming Philosophy Variation Sources Technology Human behavior Performance Understanding Reducing/ SQC Higher productivity & Customer satisfaction
  • 8. 3rd Pillar of Deming Philosophy Theory of Knowledge  No knowledge is possible without theory  Understanding the assumptions and theory behind SQC tools is vital to applying them correctly.  Using cook book approach, self-help books and jumping on latest popular approaches without understanding may lead to disaster.
  • 9. 4th Pillar of Deming Philosophy Psychology People differ from one another, But all need love, dignity and esteem  Psychology helps us to understand people  People can be motivated extrinsically or intrinsically. The later being more powerful.  Pay and fear are not the motivators.
  • 10. Peter Scholtes on Impacts of knowledge When people don’t understand systems See events as individual incidents Ignore interactions and interdependency See symptoms Fail to understand deep rooted causes Expect reaction only in a subsystem Can’t foresee the havoc generated in another section Blame Individuals Individuals have little or no ability “It takes a whole village to raise a child”
  • 11. Peter Scholtes on Impacts of knowledge When people don’t understand variation Fail to see trends See trends where there are none Have unrealistic expectations Can’t make best of experiences Can’t differentiate between prediction, forecasting and guessing Credit/ blame non-deserving people Cant differentiate between fact and opinion.
  • 12. Peter Scholtes on Impacts of knowledge When people don’t understand psychology Don’t understand why people do what they do. Fail to motivate and impair the relationships Don’t understand the process of change and resistance Revert to coercive approach Create cynicism, demotivation guilt, resentment.
  • 13. Peter Scholtes on Impacts of knowledge When people don’t understand Theory of Knowledge Can’t plan, accomplish and improve. Can’t differentiate improvement and change Problems remain unsolved
  • 14. Deming’s 14 Points Point 1: Create vision, demonstrate commitment Point 2: Learn new philosophy (customer satisfaction) Point 3: Understand inspection Point 4: Stop making decisions on the basis of cost Point 5: Improve constantly and forever Point 6: Institute training Point 7: Institute leadership (guidance)
  • 15. Deming Philosophy Point 8: Drive out fear Point 9: Optimize the effect of teams Point 10: Eliminate exhortations Point 11: Eliminate numerical quotas and MBO* Point 12: Remove barriers to pride in workmanship Point 13: Encourage education and self-Improvement Point 14: Take action (change organizational culture) *MBO: Management by Objectives
  • 17. Dr. Joseph Juran (1904- ) Industrial Engineer Quality: Fitness for use Improving quality by working within the system Conformance (Customer satisfaction) Using SQC
  • 18. Juran Philosophy Quality Trilogy Quality planning: High design quality - Identifying customers, (external & internal) Quality control: meeting goals during operations - reducing variation, establishing standards Quality improvement: unprecedented levels of performance - data analysis and action
  • 19. Focusing on Customers What to control? 1. Identifying & reducing sources of variation. 2. Establishing standards of performance. 3. Interpreting and taking action. Juran gave a specified and detailed program Fear can bring out the best in the people
  • 20. PHILIP B CROSBY PHILIP B CROSBY (1926-2001) Book: Quality is Free Work: ITT Philosophy Absolutes of Quality Management Basic elements of Improvement
  • 21. CROSBY Philosophy Absolutes of Quality Management Quality means conformance, not elegance. There is no such thing as quality problem. - problems originate at functional departments not in quality department. There is no such thing as economics of quality -doing the things right first time is always cheaper The only performance measurement is the cost of quality: - which is the expense of non-conformance The only performance standard is “Zero Defects (ZD)”
  • 22. CROSBY Philosophy ZD is not a motivational program. - it is a performance standard. Do it right the first time! People are conditioned to believe that error is inevitable. Most human errors are caused by lack of attention. (Juran & Deming disagree on being perfect!) Determination, education and implementation!
  • 24. A.V. Feigenbaum Dr. A.V. Feigenbaum Book: Quality Control: Principles, Practices and Administration Work: General Electric Philosophy: Total Quality Control Quality is a Strategic business tool that requires involvement from everyone in the organization.
  • 25. Feigenbaum Philosophy Total Quality Control “… an effective system for integrating the quality development, quality maintenance, and quality improvement efforts of the various groups in the organization so as to enable production and services at the most economical levels which allow full customer satisfaction” ‘Cost of quality’ should be used as a tool for measurement and evaluation of quality.
  • 26. Feigenbaum Philosophy Three Steps to Quality 1. Quality Leadership - sound planning, constant focus 2. Modern Quality Technology - integration of modern technology 3. Organizational Commitments - continuous training and motivation
  • 27. Kaora Ishikawa Kaora Ishikawa ( 1915 -1989) Foremost figure in Japanese Quality Professor of Engineering, Tokyo University Editor: Quality Control for Foremen Philosophy Factual data, visual tools, statistical tools are foundations of implementing total quality.
  • 28. Ishikawa Philosophy 1. Quality begins with Education and ends with education 2. The first step in quality is to know the requirements of the customers 3. The ideal state of Quality Control occurs when inspection is no longer necessary 4. Remove the root cause and not the symptoms 5. Quality Control is the responsibility of all workers and all divisions.
  • 29. Kaora Ishikawa 6. Do not confuse means with the objectives 7. Put quality first and set your sights on long-term profits 8. Marketing is the entrance and exit of quality 9. Top management must not show anger when facts are presented by subordinates 10. 95% of problems in a company can be solved with simple tools for analysis and problem solving 11. Data without dispersion information are false data.
  • 30. Genichi Taguchi Genichi Taguchi Philosophy  Concept of conformance is flawed  Economic value of reducing variation http://lssacademy.com/2007/04/15/taguchi-loss-function/
  • 31. Taguchi Philosophy Taguchi Loss Function “… that estimates the quality loss, expressed monetarily, that results when quality characteristics deviate from the target values. The cost of this deviation increases quadratically as the characteristic moves farther from the target value”. - Ducan, William, Total Quality Key Terms. p. 171
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  • 33. . Quality Gurus Review 1. Which areas are vague? 2. Where is it unrealistic? 3. Is it a comprehensive model? 4. What are the strongest and most useful aspects of the philosophy? 5. Similarities and differences
  • 34.
  • 35. Quality Management Awards The Malcolm Baldrige National Quality Award  Stimulate American companies to improve quality and productivity  Recognize the achievements  Establish guidelines and criteria  Provide specific guidance for high quality
  • 36. The Criteria for Performance Excellence Hierarchical set of categories Hierarchical set of categories 1. Leadership 2. Strategic planning 3. Customer and market focus 4. Measurement, Analysis, & Knowledge Management 5. Human Resource Focus 6. Process Management 7. Business Results
  • 38. Criteria Evolution Year Items Areas 1988 62 278 1991 32 99 1995 24 54 1997 20 30 1999 Reworded/ Question format
  • 39. Criteria Evolution From To Quality assurance, strategic quality planning Process management, overall strategic planning Current customers Current & future customers Human resource utilization Human resource development Supplier quality Supplier partnerships Quality improvement activities Improvements in all key areas Data analysis of quality efforts Integrated review of company Financial performance (Business + customer + financial + strategic) Performance
  • 40. ISO 9000: 2000 ISO 9000 Fundamentals/ vocabulary ISO 9001 Requirements to obtain a third party certification 1. Management responsibility 2. Resource management 3. Product realization 4. Measurement, analysis, improvement ISO 9004 Guidelines for performance improvement Areas: Electronics, chemicals, health care, banking ….
  • 41. ISO 9000: 2000 New Standards 1. Customer focus 2. Leadership 3. Involvement of people 4. Process approach 5. System approach to management 6. Continual improvement 7. Factual approach to decision making 8. Mutually beneficial supplier relationships
  • 42. Six Sigma Key Business processes Focus on overall strategic objectives Quantifiable measures defects/ million opportunities Identify crucial metrics Extensive training Create highly qualified process improvement experts Set stretch objectives for improvements (Personal basis for champions)
  • 43. Focusing on Customers Potential areas Waste reduction, solve equipment problems, create capacity Reduce cycle time in HR hiring Improve forecast reliability, pricing strategies & variation Better understanding of customer needs
  • 44. Focusing on Customers Is it comprehensive? Where is it vague? Where is it unrealistic? What are the strongest and most useful aspects of the philosophy? Similarities and Differences with … ISO 9000:2000 Standards
  • 45.