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World Class Management Techniques

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World Class Management Techniques - Quality Principles and
Philosophies, Deming’s 14-point Management
Philosophy, Product Development Cycle, Juran’s 10-point Program, 7 Quality Control Tools, 5S, Total Productive Maintenance (TPM), KAIZEN, Quality Circle, Concurrent Engineering, Just in Time (JIT), 7 Types of Waste, Quality Function Deployment
(QFD), The House of Quality, ISO, FMEA, FTA

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World Class Management Techniques

  1. 1. Production & Industrial Management II (TE Prod S/W) Unit V Deming’s Approach Quality Principles and Philosophies Production Engg. Dept., AISSMS COE, PUNE By: N. G. Shekapure
  2. 2. Production & Industrial Management II (TE Prod S/W) Unit V Deming’s Approach Dr. W. E. Deming • Born 1900 • Graduated in Electrical Engineering • PhD in mathematical physics • Main architect for introducing Total Quality into Japan • Became statistician for US govt. • Sent by US govt. to Japan after WWII to advise on Japanese survey. Production Engg. Dept., AISSMS COE, PUNE • Born 1900 • Graduated in Electrical Engineering • PhD in mathematical physics • Main architect for introducing Total Quality into Japan • Became statistician for US govt. • Sent by US govt. to Japan after WWII to advise on Japanese survey. By: N. G. Shekapure
  3. 3. Production & Industrial Management II (TE Prod S/W) Unit V Deming’s Approach Deming’s Philosophy • Quality is about people, not products • Suggested quality concept for designing product • Management need to understand nature of variation and how to interpret statistical data • Promoted importance of leadership • 85% of production faults responsibility of management, not workers • Specified 14-point management philosophy Production Engg. Dept., AISSMS COE, PUNE • Quality is about people, not products • Suggested quality concept for designing product • Management need to understand nature of variation and how to interpret statistical data • Promoted importance of leadership • 85% of production faults responsibility of management, not workers • Specified 14-point management philosophy By: N. G. Shekapure
  4. 4. Production & Industrial Management II (TE Prod S/W) Unit V Deming’s Approach Product Development Cycle 1. Design the product. 2. Make it. 3. Try to sell it. 4. Do consumer research and test the product’s uses. 5. Redesign – start the cycle all over again. Production Engg. Dept., AISSMS COE, PUNE 1. Design the product. 2. Make it. 3. Try to sell it. 4. Do consumer research and test the product’s uses. 5. Redesign – start the cycle all over again. By: N. G. Shekapure
  5. 5. Production & Industrial Management II (TE Prod S/W) Unit V Deming’s Approach Quality Costs Productivity Quality Approach in Context Production Engg. Dept., AISSMS COE, PUNE Prices Market Share Stay in business By: N. G. Shekapure
  6. 6. Production & Industrial Management II (TE Prod S/W) Unit V Deming’s Approach Deming’s 14-point Management Philosophy Production Engg. Dept., AISSMS COE, PUNE By: N. G. Shekapure
  7. 7. Production & Industrial Management II (TE Prod S/W) Unit V Deming’s Approach 1. Create constancy of purpose for continual improvement of products Create constancy of purpose for improvement of systems, products and services, with the aim to become excellent, satisfy customers, and provide jobs. Reduced defects and cost of development. Production Engg. Dept., AISSMS COE, PUNE 1. Create constancy of purpose for continual improvement of products Create constancy of purpose for improvement of systems, products and services, with the aim to become excellent, satisfy customers, and provide jobs. Reduced defects and cost of development. By: N. G. Shekapure
  8. 8. Production & Industrial Management II (TE Prod S/W) Unit V Deming’s Approach 2. Adopt a commitment to seek continual improvements Constantly and forever improve the system development processes, to improve quality and productivity, and thus constantly decrease the time and cost of systems. Improving quality is not a one time effort. Production Engg. Dept., AISSMS COE, PUNE 2. Adopt a commitment to seek continual improvements Constantly and forever improve the system development processes, to improve quality and productivity, and thus constantly decrease the time and cost of systems. Improving quality is not a one time effort. By: N. G. Shekapure
  9. 9. Production & Industrial Management II (TE Prod S/W) Unit V Deming’s Approach 3. Switch from defect detection to defect prevention Close down dependencies on mass inspection (especially testing) to achieve quality. Reduce the need for inspection on a mass basis by building quality into the system in the first place. Inspection is not the answer. It is too late and unreliable – it does not produce quality. Production Engg. Dept., AISSMS COE, PUNE Close down dependencies on mass inspection (especially testing) to achieve quality. Reduce the need for inspection on a mass basis by building quality into the system in the first place. Inspection is not the answer. It is too late and unreliable – it does not produce quality. By: N. G. Shekapure
  10. 10. Production & Industrial Management II (TE Prod S/W) Unit V Deming’s Approach 4. In dealing with suppliers one should end the practice of awarding business on price. Move towards quality of product, reliability of delivery and willingness to cooperate and improve. Build partnerships. Minimize total cost. Move towards a single supplier for any one item or service, making them a partner in a long- term relationship of loyalty and trust. Production Engg. Dept., AISSMS COE, PUNE 4. In dealing with suppliers one should end the practice of awarding business on price. Move towards quality of product, reliability of delivery and willingness to cooperate and improve. Build partnerships. Minimize total cost. Move towards a single supplier for any one item or service, making them a partner in a long- term relationship of loyalty and trust. By: N. G. Shekapure
  11. 11. Production & Industrial Management II (TE Prod S/W) Unit V Deming’s Approach 5. Improvement is not confined to products and their direct processes but to all supporting services and activities All functions in an organization need to become quality conscious to deliver a quality product. Production Engg. Dept., AISSMS COE, PUNE 5. Improvement is not confined to products and their direct processes but to all supporting services and activities All functions in an organization need to become quality conscious to deliver a quality product. By: N. G. Shekapure
  12. 12. Production & Industrial Management II (TE Prod S/W) Unit V Deming’s Approach 6. Train a modern way. Institute training on the job. Everyone must be trained, as knowledge is essential for improvement. Production Engg. Dept., AISSMS COE, PUNE 6. Train a modern way. Institute training on the job. Everyone must be trained, as knowledge is essential for improvement. By: N. G. Shekapure
  13. 13. Production & Industrial Management II (TE Prod S/W) Unit V Deming’s Approach 7. Supervision must change from chasing, to coaching and support. Institute leadership. It is a manger’s job to help their people and their systems to do a better job. Production Engg. Dept., AISSMS COE, PUNE 7. Supervision must change from chasing, to coaching and support. Institute leadership. It is a manger’s job to help their people and their systems to do a better job. By: N. G. Shekapure
  14. 14. Production & Industrial Management II (TE Prod S/W) Unit V Deming’s Approach 8. Drive out fear and encourage two-way communication. Drive out fear, so that everyone may work effectively. Management should be held responsible for the faults of the organization and environment. Production Engg. Dept., AISSMS COE, PUNE By: N. G. Shekapure
  15. 15. Production & Industrial Management II (TE Prod S/W) Unit V Deming’s Approach 9. Remove barriers between departments Break down barriers between areas. People must work as a team. They must foresee and prevent problems during systems development and use. Production Engg. Dept., AISSMS COE, PUNE 9. Remove barriers between departments Break down barriers between areas. People must work as a team. They must foresee and prevent problems during systems development and use. By: N. G. Shekapure
  16. 16. Production & Industrial Management II (TE Prod S/W) Unit V Deming’s Approach 10. Do not have unrealistic targets Set realistic targets. Do not place people under unnecessary pressure by asking them to do things which are not achievable. Eliminate slogans, exhortations, and targets that ask for zero defects, and new levels of productivity. Slogans do not build quality systems. Production Engg. Dept., AISSMS COE, PUNE 10. Do not have unrealistic targets Set realistic targets. Do not place people under unnecessary pressure by asking them to do things which are not achievable. Eliminate slogans, exhortations, and targets that ask for zero defects, and new levels of productivity. Slogans do not build quality systems. By: N. G. Shekapure
  17. 17. Production & Industrial Management II (TE Prod S/W) Unit V Deming’s Approach 11. Eliminate quotas and numerical targets Eliminate numerical quotas and goals. Substitute it with leadership. Quotas and goals (such as schedule) address numbers - not quality and methods. Production Engg. Dept., AISSMS COE, PUNE By: N. G. Shekapure
  18. 18. Production & Industrial Management II (TE Prod S/W) Unit V Deming’s Approach 12. Remove barriers that prevent employees having pride in the work that they perform Remove barriers to pride of workmanship. The responsibility of project managers must change from schedules to quality. Production Engg. Dept., AISSMS COE, PUNE 12. Remove barriers that prevent employees having pride in the work that they perform Remove barriers to pride of workmanship. The responsibility of project managers must change from schedules to quality. By: N. G. Shekapure
  19. 19. Production & Industrial Management II (TE Prod S/W) Unit V Deming’s Approach 13. Encourage education and self-improvement for everyone[ Institute and vigorous program of education and self- improvement for everyone. There must be a continuing commitment to training and educating software managers and professional staff. Production Engg. Dept., AISSMS COE, PUNE 13. Encourage education and self-improvement for everyone[ Institute and vigorous program of education and self- improvement for everyone. There must be a continuing commitment to training and educating software managers and professional staff. By: N. G. Shekapure
  20. 20. Production & Industrial Management II (TE Prod S/W) Unit V Deming’s Approach 14. Publish top management’s permanent commitment to continuous improvement of quality and productivity Production Engg. Dept., AISSMS COE, PUNE By: N. G. Shekapure
  21. 21. Production & Industrial Management II (TE Prod S/W) Unit V Deming’s Approach PDCA / PDSA cycle The PDCA cycle is also known as the Deming Cycle, or as the Deming Wheel or as the Continuous Improvement Spiral. Production Engg. Dept., AISSMS COE, PUNE By: N. G. Shekapure
  22. 22. Production & Industrial Management II (TE Prod S/W) Unit V Deming’s Approach The Plan stage is where it all begins. It is where you design or revise business process components to improve results. Prior to implementing a change you must understand both the nature of your current problem and how your process failed to meet a customer requirement. The Do stage is the implementation of the change. Identify the people affected by the change and inform them that you’re adapting their process due to customer complaints, multiple failures, continual improvement opportunity, whatever the reason, it is important to let them know about the change. The Study stage is where you’ll perform analysis of the data you collected during the Do stage. Assess the measurements and report the results to decision makers Although act has the same meaning with do, in this stage 'Act' is meant to apply actions to the outcome for necessary improvement, in other words 'Act' means 'Improve'. Production Engg. Dept., AISSMS COE, PUNE The Plan stage is where it all begins. It is where you design or revise business process components to improve results. Prior to implementing a change you must understand both the nature of your current problem and how your process failed to meet a customer requirement. The Do stage is the implementation of the change. Identify the people affected by the change and inform them that you’re adapting their process due to customer complaints, multiple failures, continual improvement opportunity, whatever the reason, it is important to let them know about the change. The Study stage is where you’ll perform analysis of the data you collected during the Do stage. Assess the measurements and report the results to decision makers Although act has the same meaning with do, in this stage 'Act' is meant to apply actions to the outcome for necessary improvement, in other words 'Act' means 'Improve'. By: N. G. Shekapure
  23. 23. Not in Syllabus Chitale Approach Approach : Great Lines ---- “Change cannot be created for you every time. You must strive & Bring the change Yourself” Chitale Mithaiwale, Pune “Change cannot be created for you every time. You must strive & Bring the change Yourself” Said By: - Tukaram of Chitale Mithaiwale, Pune Meaning – Kripaya Sutte Paise Dya By: N. G. Shekapure
  24. 24. Production & Industrial Management II (TE Prod S/W) Unit V Juran’s Approach Joseph M. Juran Joseph Moses Juran was a Romanian - born American management consultant and engineer. He is principally remembered as an evangelist for quality and quality management, having written several influential books on those subjects. Production Engg. Dept., AISSMS COE, PUNE Joseph Moses Juran was a Romanian - born American management consultant and engineer. He is principally remembered as an evangelist for quality and quality management, having written several influential books on those subjects. By: N. G. Shekapure
  25. 25. Production & Industrial Management II (TE Prod S/W) Unit V Juran’s 10-point Program 1. Identify customers 2. Determine customer needs 3. Translate 4. Establishment units of measurement 5. Establish measurements 6. Develop product 7. Optimize product design 8. Develop process 9. Optimize process capability 10. Transfer Juran’s Approach Production Engg. Dept., AISSMS COE, PUNE 1. Identify customers 2. Determine customer needs 3. Translate 4. Establishment units of measurement 5. Establish measurements 6. Develop product 7. Optimize product design 8. Develop process 9. Optimize process capability 10. Transfer By: N. G. Shekapure
  26. 26. Society to conserve water. Water My Seven Year old Daughter Decided not to play Holi with water because………Thousands of people have no water to drink. Farmer suicides are rampant due to the drought conditions. Even without water the festival can be great fun……………………. By: N. G. Shekapure
  27. 27. Production & Industrial Management II (TE Prod S/W) Unit V 7 QC Tools 7 Quality Control Tools • Paroto Chart • Histrogram • Process Flow Diagram • Check Sheet Production Engg. Dept., AISSMS COE, PUNE • Check Sheet • Scatter Diagram • Control Chart • Cause & Effect diagram By: N. G. Shekapure
  28. 28. Production & Industrial Management II (TE Prod S/W) Unit V Pareto Chart Defined Pareto charts are used to identify and prioritize problems to be solved. They are actually histograms aided by the 80/20 rule adapted by Joseph Juran. Remember the 80/20 rule states that approximately 80% of the problems are created by approximately 20% of the causes. 7 QC Tools • Paroto Chart Production Engg. Dept., AISSMS COE, PUNE Pareto Chart Defined Pareto charts are used to identify and prioritize problems to be solved. They are actually histograms aided by the 80/20 rule adapted by Joseph Juran. Remember the 80/20 rule states that approximately 80% of the problems are created by approximately 20% of the causes. By: N. G. Shekapure
  29. 29. Production & Industrial Management II (TE Prod S/W) Unit V First, information must be selected based on types or classifications of defects that occur as a result of a process. The data must be collected and classified into categories. Then a histogram or frequency chart is constructed showing the number of occurrences. 7 QC Tools Constructing a Pareto Chart Production Engg. Dept., AISSMS COE, PUNE First, information must be selected based on types or classifications of defects that occur as a result of a process. The data must be collected and classified into categories. Then a histogram or frequency chart is constructed showing the number of occurrences. By: N. G. Shekapure
  30. 30. Production & Industrial Management II (TE Prod S/W) Unit V 7 QC Tools An Example of How a Pareto Chart Can Be Used Pareto Charts are used when products are suffering from different defects but the defects are occurring at a different frequency, or only a few account for most of the defects present, or different defects incur different costs. What we see from that is a product line may experience a range of defects. The manufacturer could concentrate on reducing the defects which make up a bigger percentage of all the defects or focus on eliminating the defect that causes monetary loss. Production Engg. Dept., AISSMS COE, PUNE Pareto Charts are used when products are suffering from different defects but the defects are occurring at a different frequency, or only a few account for most of the defects present, or different defects incur different costs. What we see from that is a product line may experience a range of defects. The manufacturer could concentrate on reducing the defects which make up a bigger percentage of all the defects or focus on eliminating the defect that causes monetary loss. By: N. G. Shekapure
  31. 31. Production & Industrial Management II (TE Prod S/W) Unit V 7 QC Tools • Paroto Chart Production Engg. Dept., AISSMS COE, PUNE By: N. G. Shekapure
  32. 32. Production & Industrial Management II (TE Prod S/W) Unit V 7 QC Tools • Histrogram Histogram Defined A histogram is a bar graph that shows frequency data. Histograms provide the easiest way to evaluate the distribution of data. Production Engg. Dept., AISSMS COE, PUNE Histogram Defined A histogram is a bar graph that shows frequency data. Histograms provide the easiest way to evaluate the distribution of data. By: N. G. Shekapure
  33. 33. Production & Industrial Management II (TE Prod S/W) Unit V 7 QC Tools Collect data and sort it into categories. Then label the data as the independent set or the dependent set. The characteristic you grouped the data by would be the independent variable. The frequency of that set would be the dependent variable. Each mark on either axis should be in equal increments. For each category, find the related frequency and make the horizontal marks to show that frequency. Creating a Histogram Production Engg. Dept., AISSMS COE, PUNE Collect data and sort it into categories. Then label the data as the independent set or the dependent set. The characteristic you grouped the data by would be the independent variable. The frequency of that set would be the dependent variable. Each mark on either axis should be in equal increments. For each category, find the related frequency and make the horizontal marks to show that frequency. By: N. G. Shekapure
  34. 34. Production & Industrial Management II (TE Prod S/W) Unit V 7 QC Tools Histograms can be used to determine distribution of sales. Say for instance a company wanted to measure the revenues of other companies and wanted to compare numbers. Examples of How Histograms Can Be Used Production Engg. Dept., AISSMS COE, PUNE Histograms can be used to determine distribution of sales. Say for instance a company wanted to measure the revenues of other companies and wanted to compare numbers. By: N. G. Shekapure
  35. 35. Production & Industrial Management II (TE Prod S/W) Unit V 7 QC Tools Percentfromeachcause 20 30 40 50 60 70 (64) Histrogram Production Engg. Dept., AISSMS COE, PUNE Percentfromeachcause Causes of poor quality 0 10 20 (13) (10) (6) (3) (2) (2) By: N. G. Shekapure
  36. 36. Production & Industrial Management II (TE Prod S/W) Unit V 7 QC Tools Histrogram Production Engg. Dept., AISSMS COE, PUNE By: N. G. Shekapure
  37. 37. Production & Industrial Management II (TE Prod S/W) Unit V 7 QC Tools • Process Flow Diagram Flow Charts Graphical description of how work is done. Used to describe processes that are to be improved. Production Engg. Dept., AISSMS COE, PUNE Graphical description of how work is done. Used to describe processes that are to be improved. By: N. G. Shekapure
  38. 38. Production & Industrial Management II (TE Prod S/W) Unit V 7 QC Tools Flow Chart Production Engg. Dept., AISSMS COE, PUNE By: N. G. Shekapure
  39. 39. Production & Industrial Management II (TE Prod S/W) Unit V 7 QC Tools Flow Chart Production Engg. Dept., AISSMS COE, PUNE By: N. G. Shekapure
  40. 40. Production & Industrial Management II (TE Prod S/W) Unit V 7 QC Tools Process Chart Symbols Operations Inspection Transportation Production Engg. Dept., AISSMS COE, PUNE Transportation Delay Storage
  41. 41. Production & Industrial Management II (TE Prod S/W) Unit V 7 QC Tools Production Engg. Dept., AISSMS COE, PUNE By: N. G. Shekapure
  42. 42. Production & Industrial Management II (TE Prod S/W) Unit V 7 QC Tools Flow Diagram Production Engg. Dept., AISSMS COE, PUNE By: N. G. Shekapure
  43. 43. Production & Industrial Management II (TE Prod S/W) Unit V 7 QC Tools Flow Diagram Production Engg. Dept., AISSMS COE, PUNE By: N. G. Shekapure
  44. 44. Production & Industrial Management II (TE Prod S/W) Unit V 7 QC Tools Flow Diagram Production Engg. Dept., AISSMS COE, PUNE By: N. G. Shekapure
  45. 45. Production & Industrial Management II (TE Prod S/W) Unit V 7 QC Tools Check Sheet Production Engg. Dept., AISSMS COE, PUNE By: N. G. Shekapure
  46. 46. Production & Industrial Management II (TE Prod S/W) Unit V 7 QC Tools Check List Production Engg. Dept., AISSMS COE, PUNE By: N. G. Shekapure
  47. 47. Production & Industrial Management II (TE Prod S/W) Unit V 7 QC Tools Scatter Diagram What it is: A scatter diagram is a tool for analyzing relationships between two variables. One variable is plotted on the horizontal axis and the other is plotted on the vertical axis. The pattern of their intersecting points can graphically show relationship patterns. Most often a scatter diagram is used to prove or disprove cause- and-effect relationships. While the diagram shows relationships, it does not by itself prove that one variable causes the other. In addition to showing possible causeand- effect relationships, a scatter diagram can show that two variables are from a common cause that is unknown or that one variable can be used as a surrogate for the other. Production Engg. Dept., AISSMS COE, PUNE What it is: A scatter diagram is a tool for analyzing relationships between two variables. One variable is plotted on the horizontal axis and the other is plotted on the vertical axis. The pattern of their intersecting points can graphically show relationship patterns. Most often a scatter diagram is used to prove or disprove cause- and-effect relationships. While the diagram shows relationships, it does not by itself prove that one variable causes the other. In addition to showing possible causeand- effect relationships, a scatter diagram can show that two variables are from a common cause that is unknown or that one variable can be used as a surrogate for the other. By: N. G. Shekapure
  48. 48. Production & Industrial Management II (TE Prod S/W) Unit V 7 QC ToolsScatter Diagram Interpret the data. Scatter diagrams will generally show one of six possible correlations between the variables: Strong Positive Correlation The value of Y clearly increases as the value of X increases. Strong Negative Correlation The value of Y clearly decreases as the value of X increases. Weak Positive Correlation The value of Y increases slightly as the value of X increases. Weak Negative Correlation The value of Y decreases slightly as the value of X increases. Complex Correlation The Y seems to be related to X, but the relationship is not easily determined. No Correlation There is no connection between the two variables. Production Engg. Dept., AISSMS COE, PUNE Interpret the data. Scatter diagrams will generally show one of six possible correlations between the variables: Strong Positive Correlation The value of Y clearly increases as the value of X increases. Strong Negative Correlation The value of Y clearly decreases as the value of X increases. Weak Positive Correlation The value of Y increases slightly as the value of X increases. Weak Negative Correlation The value of Y decreases slightly as the value of X increases. Complex Correlation The Y seems to be related to X, but the relationship is not easily determined. No Correlation There is no connection between the two variables. By: N. G. Shekapure
  49. 49. Production & Industrial Management II (TE Prod S/W) Unit V 7 QC Tools Scatter Diagram Production Engg. Dept., AISSMS COE, PUNE By: N. G. Shekapure
  50. 50. Production & Industrial Management II (TE Prod S/W) Unit V 7 QC Tools Control Chart The control chart is a graph used to study how a process changes over time with data plotted in time order. Production Engg. Dept., AISSMS COE, PUNE By: N. G. Shekapure
  51. 51. Production & Industrial Management II (TE Prod S/W) Unit V 7 QC Tools Basic Conceptions What is a control chart? 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 the upper control limit and a lower line for the lower control limit. Lines are determined from historical data. By comparing current data to these lines, you can draw conclusions about whether the process variation is consistent (in control) or is unpredictable (out of control, affected by special causes of variation). Production Engg. Dept., AISSMS COE, PUNE What is a control chart? 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 the upper control limit and a lower line for the lower control limit. Lines are determined from historical data. By comparing current data to these lines, you can draw conclusions about whether the process variation is consistent (in control) or is unpredictable (out of control, affected by special causes of variation). By: N. G. Shekapure
  52. 52. Production & Industrial Management II (TE Prod S/W) Unit V 7 QC Tools When to use a control chart? Controlling ongoing processes by finding and correcting problems as they occur. Predicting the expected range of outcomes from a process. Determining whether a process is stable (in statistical control). Analyzing patterns of process variation from special causes (non-routine events) or common causes (built into the process). Determining whether the quality improvement project should aim to prevent specific problems or to make fundamental changes to the process. Production Engg. Dept., AISSMS COE, PUNE When to use a control chart? Controlling ongoing processes by finding and correcting problems as they occur. Predicting the expected range of outcomes from a process. Determining whether a process is stable (in statistical control). Analyzing patterns of process variation from special causes (non-routine events) or common causes (built into the process). Determining whether the quality improvement project should aim to prevent specific problems or to make fundamental changes to the process. By: N. G. Shekapure
  53. 53. Production & Industrial Management II (TE Prod S/W) Unit V 7 QC Tools Control Chart Basic Procedure Choose the appropriate control chart for the data. Determine the appropriate time period for collecting and plotting data. Collect data, construct the chart and analyze the data. Look for “out-of-control signals” on the control chart. When one is identified, mark it on the chart and investigate the cause. Document how you investigated, what you learned, the cause and how it was corrected. Continue to plot data as they are generated. As each new data point is plotted, check for new out-of-control signals. Production Engg. Dept., AISSMS COE, PUNE Control Chart Basic Procedure Choose the appropriate control chart for the data. Determine the appropriate time period for collecting and plotting data. Collect data, construct the chart and analyze the data. Look for “out-of-control signals” on the control chart. When one is identified, mark it on the chart and investigate the cause. Document how you investigated, what you learned, the cause and how it was corrected. Continue to plot data as they are generated. As each new data point is plotted, check for new out-of-control signals. By: N. G. Shekapure
  54. 54. Production & Industrial Management II (TE Prod S/W) Unit V 7 QC Tools Basic components of control charts A centerline, usually the mathematical average of all the samples plotted; Lower and upper control limits defining the constraints of common cause variations; Performance data plotted over time. Production Engg. Dept., AISSMS COE, PUNE Basic components of control charts A centerline, usually the mathematical average of all the samples plotted; Lower and upper control limits defining the constraints of common cause variations; Performance data plotted over time. By: N. G. Shekapure
  55. 55. Production & Industrial Management II (TE Prod S/W) Unit V 7 QC Tools General model for a control chart UCL = Ẍ + kσ CL = Ẍ LCL = Ẍ – kσ where Ẍ is the mean of the variable, and σ is the standard deviation of the variable. UCL=upper control limit; LCL = lower control limit; CL = center line. where k is the distance of the control limits from the center line, expressed in terms of standard deviation units. When k is set to 3, we speak of 3-sigma control charts. Historically, k = 3 has become an accepted standard in industry. Production Engg. Dept., AISSMS COE, PUNE General model for a control chart UCL = Ẍ + kσ CL = Ẍ LCL = Ẍ – kσ where Ẍ is the mean of the variable, and σ is the standard deviation of the variable. UCL=upper control limit; LCL = lower control limit; CL = center line. where k is the distance of the control limits from the center line, expressed in terms of standard deviation units. When k is set to 3, we speak of 3-sigma control charts. Historically, k = 3 has become an accepted standard in industry. By: N. G. Shekapure
  56. 56. Production & Industrial Management II (TE Prod S/W) Unit V 7 QC Tools Types of the control charts Variables control charts Variable data are measured on a continuous scale. For example: time, weight, distance or temperature can be measured in fractions or decimals. Applied to data with continuous distribution Attributes control charts Attribute data are counted and cannot have fractions or decimals. Attribute data arise when you are determining only the presence or absence of something: success or failure, accept or reject, correct or not correct. For example, a report can have four errors or five errors, but it cannot have four and a half errors. Applied to data following discrete distribution Production Engg. Dept., AISSMS COE, PUNE Types of the control charts Variables control charts Variable data are measured on a continuous scale. For example: time, weight, distance or temperature can be measured in fractions or decimals. Applied to data with continuous distribution Attributes control charts Attribute data are counted and cannot have fractions or decimals. Attribute data arise when you are determining only the presence or absence of something: success or failure, accept or reject, correct or not correct. For example, a report can have four errors or five errors, but it cannot have four and a half errors. Applied to data following discrete distribution By: N. G. Shekapure
  57. 57. Production & Industrial Management II (TE Prod S/W) Unit V 7 QC Tools Variables control charts • X-bar and R chart (also called averages and range chart) • X-bar and s chart • Moving average–Moving range chart (also called MA–MR chart) • Target charts (also called difference charts, deviation charts and nominal charts) • CUSUM (cumulative sum chart) • EWMA (exponentially weighted moving average chart) multivariate chart Production Engg. Dept., AISSMS COE, PUNE Variables control charts • X-bar and R chart (also called averages and range chart) • X-bar and s chart • Moving average–Moving range chart (also called MA–MR chart) • Target charts (also called difference charts, deviation charts and nominal charts) • CUSUM (cumulative sum chart) • EWMA (exponentially weighted moving average chart) multivariate chart By: N. G. Shekapure
  58. 58. Production & Industrial Management II (TE Prod S/W) Unit V 7 QC Tools Attributes control charts p chart (Proportion chart) np chart c chart (Count chart) u chart Production Engg. Dept., AISSMS COE, PUNE Attributes control charts p chart (Proportion chart) np chart c chart (Count chart) u chart By: N. G. Shekapure
  59. 59. Production & Industrial Management II (TE Prod S/W) Unit V 7 QC Tools Example: R Control Chart In the manufacturing of a certain machine part, the percentage of aluminum in the finished part is especially critical. For each production day, the aluminum percentage of five parts is measured. The table below consists of the average aluminum percentage of ten consecutive production days, along with the minimum and maximum sample values (aluminum percentage) for each day. The sum of the 10 samples means (below) is 258.8. Day 1 2 3 4 5 6 7 8 9 10 Production Engg. Dept., AISSMS COE, PUNE Sample Mean 25.2 26.0 25.2 25.2 26.0 25.6 26.0 26.0 24.6 29.0 Maximum Value 26.6 27.6 27.7 27.4 27.6 27.4 27.5 27.9 26.8 31.6 Minimum Value 23.5 24.4 24.6 23.2 23.3 23.3 24.1 23.8 23.5 27.4 By: N. G. Shekapure
  60. 60. Production & Industrial Management II (TE Prod S/W) Unit V 7 QC Tools Show the relationships between a problem and its possible causes. Developed by Kaoru Ishikawa (1953) Also known as …  Fishbone diagrams  Ishikawa diagrams Cause & Effect diagram Production Engg. Dept., AISSMS COE, PUNE Show the relationships between a problem and its possible causes. Developed by Kaoru Ishikawa (1953) Also known as …  Fishbone diagrams  Ishikawa diagrams By: N. G. Shekapure
  61. 61. Production & Industrial Management II (TE Prod S/W) Unit V 7 QC Tools Problem/ Desired Improvement Main Category Cause & Effect Diagram Production Engg. Dept., AISSMS COE, PUNE Problem/ Desired Improvement Cause Root Cause By: N. G. Shekapure
  62. 62. Production & Industrial Management II (TE Prod S/W) Unit V 7 QC Tools What is a Cause and Effect Diagram? • A visual tool to identify, explore and graphically display, in increasing detail, all of the suspected possible causes related to a problem or condition to discover its root causes. • Not a quantitative tool Production Engg. Dept., AISSMS COE, PUNE • A visual tool to identify, explore and graphically display, in increasing detail, all of the suspected possible causes related to a problem or condition to discover its root causes. • Not a quantitative tool By: N. G. Shekapure
  63. 63. Production & Industrial Management II (TE Prod S/W) Unit V 7 QC Tools Why Use Cause & Effect Diagrams? • Focuses team on the content of the problem • Creates a snapshot of the collective knowledge of team • Creates consensus of the causes of a problem • Builds support for resulting solutions • Focuses the team on causes not symptoms • To discover the most probable causes for further analysis • To visualize possible relationships between causes for any problem current or future • To pinpoint conditions causing customer complaints, process errors or non-conforming products • To provide focus for discussion Production Engg. Dept., AISSMS COE, PUNE • Focuses team on the content of the problem • Creates a snapshot of the collective knowledge of team • Creates consensus of the causes of a problem • Builds support for resulting solutions • Focuses the team on causes not symptoms • To discover the most probable causes for further analysis • To visualize possible relationships between causes for any problem current or future • To pinpoint conditions causing customer complaints, process errors or non-conforming products • To provide focus for discussion By: N. G. Shekapure
  64. 64. Production & Industrial Management II (TE Prod S/W) Unit V 7 QC Tools ManMan MethodsMethodsMachineMachine Five Key Sources of Variation EnvironmentEnvironment+ Product/Manufacturing Production Engg. Dept., AISSMS COE, PUNE MaterialsMaterials MeasurementMeasurement Five Key Sources of Variation EnvironmentEnvironment+ Use cause and effect diagram to single out variation sources within the “5M’s + E” Use cause and effect diagram to single out variation sources within the “5M’s + E” By: N. G. Shekapure
  65. 65. Production & Industrial Management II (TE Prod S/W) Unit V 7 QC Tools Causes Effect Main Category Fishbone - Cause and Effect Diagram Production Engg. Dept., AISSMS COE, PUNE Shows various influences on a process to identify most likely root causes of problem Shows various influences on a process to identify most likely root causes of problem Problem Cause Root Cause By: N. G. Shekapure
  66. 66. Production & Industrial Management II (TE Prod S/W) Unit V 7 QC Tools Quality Problem Quality Problem MachinesMachinesMeasurementMeasurement HumanHuman Faulty testing equipment Incorrect specifications Improper methods Poor supervision Lack of concentration Inadequate training Out of adjustment Tooling problems Old / worn Production Engg. Dept., AISSMS COE, PUNE Quality Problem Quality Problem ProcessProcessEnvironmentEnvironment MaterialsMaterials Defective from vendor Not to specifications Material- handling problems Deficiencies in product design Ineffective quality management Poor process design Inaccurate temperature control Dust and Dirt By: N. G. Shekapure
  67. 67. Production & Industrial Management II (TE Prod S/W) Unit V 7 QC Tools Late Pizza deliveries on Fridays & Saturdays Late Pizza deliveries on Fridays & Saturdays Machinery / Equipment'sMachinery / Equipment's PeoplePeople Production Engg. Dept., AISSMS COE, PUNE Late Pizza deliveries on Fridays & Saturdays Late Pizza deliveries on Fridays & Saturdays MethodsMethods MaterialsMaterials By: N. G. Shekapure
  68. 68. Production & Industrial Management II (TE Prod S/W) Unit V 7 QC Tools Production Engg. Dept., AISSMS COE, PUNE By: N. G. Shekapure
  69. 69. Production & Industrial Management II (TE Prod S/W) Unit V 5 S 5S Production Engg. Dept., AISSMS COE, PUNE By: N. G. Shekapure
  70. 70. Production & Industrial Management II (TE Prod S/W) Unit V 5 S The 5S Seiri – Sort (housekeeping) Seiton – Set in order (workplace organization) Seiso – Shine (Cleanup) Seiketsu – Standardize (Cleanliness) Shitsuke – Sustain (Discipline) Production Engg. Dept., AISSMS COE, PUNE Seiri – Sort (housekeeping) Seiton – Set in order (workplace organization) Seiso – Shine (Cleanup) Seiketsu – Standardize (Cleanliness) Shitsuke – Sustain (Discipline) By: N. G. Shekapure
  71. 71. Production & Industrial Management II (TE Prod S/W) Unit V 5 S Benefits of 5S  Reduce waste hidden in the plant  Improve quality and safety  Reduce lead time and cost  Increase profit Production Engg. Dept., AISSMS COE, PUNE  Reduce waste hidden in the plant  Improve quality and safety  Reduce lead time and cost  Increase profit By: N. G. Shekapure
  72. 72. Production & Industrial Management II (TE Prod S/W) Unit V 5 S Seiri – Sort • Ensuring each item in a workplace is in its proper place or identified as unnecessary and removed. • Sort items by frequency of use • Get rid of unnecessary stuff  Bare essentials for the job  Red Tag system  Can tasks be simplified?  Do we label items, and dispose of waste frequently? Production Engg. Dept., AISSMS COE, PUNE • Ensuring each item in a workplace is in its proper place or identified as unnecessary and removed. • Sort items by frequency of use • Get rid of unnecessary stuff  Bare essentials for the job  Red Tag system  Can tasks be simplified?  Do we label items, and dispose of waste frequently? By: N. G. Shekapure
  73. 73. Production & Industrial Management II (TE Prod S/W) Unit V 5 S Seiton – Set in order • Time spent looking for things, putting away • Arrange materials and equipment so that they are easy to find and use  Prepare and label storage areas  Use paint, outlines, color-coded  Consider ergonomics of reaching items  Frequent, infrequent users Production Engg. Dept., AISSMS COE, PUNE • Time spent looking for things, putting away • Arrange materials and equipment so that they are easy to find and use  Prepare and label storage areas  Use paint, outlines, color-coded  Consider ergonomics of reaching items  Frequent, infrequent users By: N. G. Shekapure
  74. 74. Production & Industrial Management II (TE Prod S/W) Unit V 5 S Seiso – Shine • Repair, clean & shine work area • Important for safety • Maintenance problems such as oil leaks can identified before they cause problems. • Schedule for cleaning, sweeping, wiping off • Cleaning inspection checklists • Workspace always ready to work • See workspace through customers’ eyes Production Engg. Dept., AISSMS COE, PUNE • Repair, clean & shine work area • Important for safety • Maintenance problems such as oil leaks can identified before they cause problems. • Schedule for cleaning, sweeping, wiping off • Cleaning inspection checklists • Workspace always ready to work • See workspace through customers’ eyes By: N. G. Shekapure
  75. 75. Production & Industrial Management II (TE Prod S/W) Unit V 5 S Seiketsu – Standardize • Formalize procedures and practices to create consistency and ensure all steps are performed correctly. • Prevention steps for clutter • Otherwise improvements from first 3 lost • Everyone knows what they are responsible for doing, when and how • Visual 5S – see status at a glance • Safe wear, no wasted resources Production Engg. Dept., AISSMS COE, PUNE • Formalize procedures and practices to create consistency and ensure all steps are performed correctly. • Prevention steps for clutter • Otherwise improvements from first 3 lost • Everyone knows what they are responsible for doing, when and how • Visual 5S – see status at a glance • Safe wear, no wasted resources By: N. G. Shekapure
  76. 76. Production & Industrial Management II (TE Prod S/W) Unit V 5 S Shitsuke – Sustain • Keep the processes going through training, communication, and organization structures • Allocate time for maintaining • Create awareness of improvements • Management support for maintaining • Training, rewards Production Engg. Dept., AISSMS COE, PUNE • Keep the processes going through training, communication, and organization structures • Allocate time for maintaining • Create awareness of improvements • Management support for maintaining • Training, rewards By: N. G. Shekapure
  77. 77. Production & Industrial Management II (TE Prod S/W) Unit V 5 S What is 5S ? Production Engg. Dept., AISSMS COE, PUNE By: N. G. Shekapure
  78. 78. Production & Industrial Management II (TE Prod S/W) Unit V 5 S Production Engg. Dept., AISSMS COE, PUNE By: N. G. Shekapure
  79. 79. Production & Industrial Management II (TE Prod S/W) Unit V 5 S Implementation • Gradually – too fast unsustainable • During slow time • Importance of training, Management commitment • Before & After photos • Change of mentality, not campaigns and slogans. Old way no longer OK • MBWA • Patrols Production Engg. Dept., AISSMS COE, PUNE • Gradually – too fast unsustainable • During slow time • Importance of training, Management commitment • Before & After photos • Change of mentality, not campaigns and slogans. Old way no longer OK • MBWA • Patrols (Management By Wandering Around) By: N. G. Shekapure
  80. 80. Production & Industrial Management II (TE Prod S/W) Unit V TPM Total Productive Maintenance Production Engg. Dept., AISSMS COE, PUNE By: N. G. Shekapure
  81. 81. Production & Industrial Management II (TE Prod S/W) Unit V TPM Total Productive Maintenance Production Engg. Dept., AISSMS COE, PUNE By: N. G. Shekapure
  82. 82. Production & Industrial Management II (TE Prod S/W) Unit V TPM FOCUSED IMPROVEMENT AUTONOMOUS MAINTENANCE PLANNED MAINTENANCE TRAINING AND SKILLS DEVELOPMENT RESET BASE LEVEL, INSPECTION STANDARDS 5S, SETTING STANDARDS. MEASUREMENT OF LOSSES, PROBLEM SOLVING, RELIABILITY IMPROVEMENT, SMED. DOWNTIME REDUCTION INITIALIZATION OF CONDITION BASED MAINTENANCE TECHNICAL SKILLS REQUIREMENTS KNOW- HOW The 8 Pillars of TPM PI PII PIII PIV Production Engg. Dept., AISSMS COE, PUNE TRAINING AND SKILLS DEVELOPMENT INITIAL PHASE MANAGEMENT ADMINISTRATIVE WORK IMPROVEMENT QUALITY IMPROVEMENT TECHNICAL SKILLS REQUIREMENTS KNOW- HOW CHECK OF SPECIFICATIONS TECHNICAL EVOLUTIONS 5S IN OFFICES 5S IN WAREHOUSES IMPROVE EFFICIENCY OF ADMINISTRATIVE TASKS MANAGEMENT FOR ZERO ACCIDENT AND ZERO POLLUTION REDUCTION OF DEFECTS OPERATING STANDARDS SAFETY & ENVIRONMENT QUALITY MAINTENANCE PIV PV PVI PVII PVIII By: N. G. Shekapure
  83. 83. Production & Industrial Management II (TE Prod S/W) Unit V TPM • Breakdown maintenance  Waits until equipment fails and repair it • Preventive maintenance  Regular maintenance (cleaning, inspection, oiling and retightening)  Retains the healthy condition of equipment and prevents failure  Periodic maintenance (time based maintenance - TBM)  Predictive maintenance (condition based maintenance) • Corrective maintenance  Improves equipment and its components so that preventive maintenance can be carried out reliably • Maintenance prevention  Improves the design of new equipment Production Engg. Dept., AISSMS COE, PUNE • Breakdown maintenance  Waits until equipment fails and repair it • Preventive maintenance  Regular maintenance (cleaning, inspection, oiling and retightening)  Retains the healthy condition of equipment and prevents failure  Periodic maintenance (time based maintenance - TBM)  Predictive maintenance (condition based maintenance) • Corrective maintenance  Improves equipment and its components so that preventive maintenance can be carried out reliably • Maintenance prevention  Improves the design of new equipment By: N. G. Shekapure
  84. 84. Production & Industrial Management II (TE Prod S/W) Unit V TPM Think of productive equipment as we think of our cars or telephones They are ready to go when we need them They need not run all the time to be productive For this concept to function properly The machines must be ready when we need them They must be shut down in such a fashion as to be ready the next time Why do you change the oil in your car? Production Engg. Dept., AISSMS COE, PUNE Think of productive equipment as we think of our cars or telephones They are ready to go when we need them They need not run all the time to be productive For this concept to function properly The machines must be ready when we need them They must be shut down in such a fashion as to be ready the next time Why do you change the oil in your car? By: N. G. Shekapure
  85. 85. Production & Industrial Management II (TE Prod S/W) Unit V TPM  To maintain quality  To maintain production volume  To maintain efficiency  To protect investment in equipment “If machine uptime is not predictable, if process capability is not sustained, we cannot satisfy the customer, and we cannot stay in business.” Production Engg. Dept., AISSMS COE, PUNE  To maintain quality  To maintain production volume  To maintain efficiency  To protect investment in equipment “If machine uptime is not predictable, if process capability is not sustained, we cannot satisfy the customer, and we cannot stay in business.” By: N. G. Shekapure
  86. 86. Production & Industrial Management II (TE Prod S/W) Unit V TPM Total • All employees are involved • It aims to eliminate all accidents, defects and breakdowns Productive • Actions are performed while production goes on • Troubles for production are minimized Maintenance • Keep in good condition • Repair, clean, lubricate Production Engg. Dept., AISSMS COE, PUNE Total • All employees are involved • It aims to eliminate all accidents, defects and breakdowns Productive • Actions are performed while production goes on • Troubles for production are minimized Maintenance • Keep in good condition • Repair, clean, lubricate By: N. G. Shekapure
  87. 87. Production & Industrial Management II (TE Prod S/W) Unit V TPM TPM Targets: PQCDSM P : Obtain Minimum 80% OPE. Obtain Minimum 90% OEE ( Overall Equipment Effectiveness ) Run the machines even during lunch. ( Lunch is for operators and not for machines ! ) Q : Operate in a manner, so that there are no customer complaints. C : Reduce the manufacturing cost by 30%. D : Achieve 100% success in delivering the goods as required by the customer. S : Maintain a accident free environment. M : Increase the suggestions by 3 times. Develop Multi-skilled and flexible workers. Production Engg. Dept., AISSMS COE, PUNE TPM Targets: PQCDSM P : Obtain Minimum 80% OPE. Obtain Minimum 90% OEE ( Overall Equipment Effectiveness ) Run the machines even during lunch. ( Lunch is for operators and not for machines ! ) Q : Operate in a manner, so that there are no customer complaints. C : Reduce the manufacturing cost by 30%. D : Achieve 100% success in delivering the goods as required by the customer. S : Maintain a accident free environment. M : Increase the suggestions by 3 times. Develop Multi-skilled and flexible workers. By: N. G. Shekapure
  88. 88. Production & Industrial Management II (TE Prod S/W) Unit V TPM PQCDSM Production Engg. Dept., AISSMS COE, PUNE By: N. G. Shekapure
  89. 89. Production & Industrial Management II (TE Prod S/W) Unit V TPM Preparation Announcement to introduce TPM Introductory education campaign for the workforce TPM Promotion (special committees) Establish basic TPM policies and goals Preparation and Formulation of a master plan Production Engg. Dept., AISSMS COE, PUNE Kick-off Implementation Preparation and Formulation of a master plan Develop an equipment management program Develop a planned maintenance program Develop an autonomous maintenance program Increase skills of production and maintenance personnel Perfect TPM implementation and raise TPM levelsStabilization Develop early equipment management program Invite customers, affiliated companies and subcontractors By: N. G. Shekapure
  90. 90. Production & Industrial Management II (TE Prod S/W) Unit V KAIZEN KAIZEN Production Engg. Dept., AISSMS COE, PUNE By: N. G. Shekapure
  91. 91. Production & Industrial Management II (TE Prod S/W) Unit V KAIZEN KAIZEN Production Engg. Dept., AISSMS COE, PUNE By: N. G. Shekapure
  92. 92. Production & Industrial Management II (TE Prod S/W) Unit V KAIZEN Kaizen was first implemented in several Japanese businesses during the country's recovery after World War II, including Toyota, and has since spread out to businesses throughout the world. This method became famous by the book of Masaaki Imai “Kaizen: The Key to Japan's Competitive Success.” Production Engg. Dept., AISSMS COE, PUNE Kaizen was first implemented in several Japanese businesses during the country's recovery after World War II, including Toyota, and has since spread out to businesses throughout the world. This method became famous by the book of Masaaki Imai “Kaizen: The Key to Japan's Competitive Success.” By: N. G. Shekapure
  93. 93. Production & Industrial Management II (TE Prod S/W) Unit V KAIZEN  Improvements are based on many, small changes rather than the radial changes that might arise from Research and Development.  As the ideas come from the workers themselves, they are less likely to be radically different, & therefore easier to implement.  Small improvements are less likely to required major capital investment than major process changes. Production Engg. Dept., AISSMS COE, PUNE  Small improvements are less likely to required major capital investment than major process changes.  The ideas come from the talents of the existing workforce, as opposed to using R&D, consultants or equipment – any of which could be very expensive  All employees should continually be seeking ways to improve their own performance.  It helps encourage workers to take ownership of their work and thereby improving worker motivation, team working . By: N. G. Shekapure
  94. 94. Production & Industrial Management II (TE Prod S/W) Unit V KAIZEN The quick and easy kaizen process works as follows: 1. The employee identifies a problem, waste, or an opportunity for improvement and writes it down. 2. The employee develops an improvement idea and discusses it with his or her supervisor. 3. The supervisor reviews the idea within 24 hours and encourages immediate action. 4. The employee implements the idea. If a larger improvement idea is approved, the employee should take leadership to implement the idea. 5. The idea is written up on a simple form in less than three minutes. 6. Supervisor posts the form to share with and stimulate others and recognizes the accomplishment. Production Engg. Dept., AISSMS COE, PUNE The quick and easy kaizen process works as follows: 1. The employee identifies a problem, waste, or an opportunity for improvement and writes it down. 2. The employee develops an improvement idea and discusses it with his or her supervisor. 3. The supervisor reviews the idea within 24 hours and encourages immediate action. 4. The employee implements the idea. If a larger improvement idea is approved, the employee should take leadership to implement the idea. 5. The idea is written up on a simple form in less than three minutes. 6. Supervisor posts the form to share with and stimulate others and recognizes the accomplishment. By: N. G. Shekapure
  95. 95. Production & Industrial Management II (TE Prod S/W) Unit V Quality Circle Production Engg. Dept., AISSMS COE, PUNE By: N. G. Shekapure
  96. 96. Production & Industrial Management II (TE Prod S/W) Unit V Quality Circle Voluntary groups of employees who work on similar tasks or share an area of responsibility They agree to meet on a regular basis to discuss & solve problems related to work. They operate on the principle that employee participation in decision-making and problem-solving improves the quality of work Production Engg. Dept., AISSMS COE, PUNE Voluntary groups of employees who work on similar tasks or share an area of responsibility They agree to meet on a regular basis to discuss & solve problems related to work. They operate on the principle that employee participation in decision-making and problem-solving improves the quality of work By: N. G. Shekapure
  97. 97. Production & Industrial Management II (TE Prod S/W) Unit V Quality Circle Characteristics Volunteers Set Rules and Priorities Decisions made by agreement Use of organized approaches to Problem-Solving Production Engg. Dept., AISSMS COE, PUNE Characteristics Volunteers Set Rules and Priorities Decisions made by agreement Use of organized approaches to Problem-Solving By: N. G. Shekapure
  98. 98. Production & Industrial Management II (TE Prod S/W) Unit V Quality Circle  All members of a Circle need to receive training  Members need to be empowered  Members need to have the support of Senior Management Production Engg. Dept., AISSMS COE, PUNE  All members of a Circle need to receive training  Members need to be empowered  Members need to have the support of Senior Management By: N. G. Shekapure
  99. 99. Production & Industrial Management II (TE Prod S/W) Unit V KAIZEN  Increase Productivity  Improve Quality  Boost Employee Morale Production Engg. Dept., AISSMS COE, PUNE By: N. G. Shekapure
  100. 100. Production & Industrial Management II (TE Prod S/W) Unit V KAIZEN • Inadequate Training • Unsure of Purpose • Not truly Voluntary • Lack of Management Interest • Quality Circles are not really empowered to make decisions. Production Engg. Dept., AISSMS COE, PUNE • Inadequate Training • Unsure of Purpose • Not truly Voluntary • Lack of Management Interest • Quality Circles are not really empowered to make decisions. By: N. G. Shekapure
  101. 101. Production & Industrial Management II (TE Prod S/W) Unit V Concurrent Engineering Concurrent Engineering Production Engg. Dept., AISSMS COE, PUNE By: N. G. Shekapure
  102. 102. Production & Industrial Management II (TE Prod S/W) Unit V Concurrent Engineering Concurrent Engineering 1st Definition “The simultaneous performance of product design and process design. Typically, concurrent engineering involves the formation of cross-functional teams. This allows engineers and managers of different disciplines to work together simultaneously in developing product and process design.” Foster, S. Thomas. Managing Quality: An Integrative Approach. Upper Saddle River New Jersey: Prentice Hall, 2001. Production Engg. Dept., AISSMS COE, PUNE “The simultaneous performance of product design and process design. Typically, concurrent engineering involves the formation of cross-functional teams. This allows engineers and managers of different disciplines to work together simultaneously in developing product and process design.” Foster, S. Thomas. Managing Quality: An Integrative Approach. Upper Saddle River New Jersey: Prentice Hall, 2001. By: N. G. Shekapure
  103. 103. Production & Industrial Management II (TE Prod S/W) Unit V Concurrent Engineering Concurrent Engineering 2nd Definition “Concurrent engineering methodologies permit the separate tasks of the product development process to be carried out simultaneously rather than sequentially. Product design, testing, manufacturing and process planning through logistics, for example, are done side-by-side and interactively. Potential problems in fabrication, assembly, support and quality are identified and resolved early in the design process.” Izuchukwu, John. “Architecture and Process :The Role of Integrated Systems in Concurrent Engineering.” Industrial Management Mar/Apr 1992: p. 19-23. Production Engg. Dept., AISSMS COE, PUNE “Concurrent engineering methodologies permit the separate tasks of the product development process to be carried out simultaneously rather than sequentially. Product design, testing, manufacturing and process planning through logistics, for example, are done side-by-side and interactively. Potential problems in fabrication, assembly, support and quality are identified and resolved early in the design process.” Izuchukwu, John. “Architecture and Process :The Role of Integrated Systems in Concurrent Engineering.” Industrial Management Mar/Apr 1992: p. 19-23. By: N. G. Shekapure
  104. 104. Production & Industrial Management II (TE Prod S/W) Unit V Concurrent Engineering Basic view of Concurrent Engineering - Doing things simultaneously - Focusing on the Process - Converting hierarchical organizations into teams Basic Goals of Concurrent Engineering - Dramatic improvements in time to market and costs - Improvements to product quality and performance - Do more with less Production Engg. Dept., AISSMS COE, PUNE Basic Goals of Concurrent Engineering - Dramatic improvements in time to market and costs - Improvements to product quality and performance - Do more with less By: N. G. Shekapure
  105. 105. Production & Industrial Management II (TE Prod S/W) Unit V Concurrent Engineering = Teamwork - The more communication exists, the better the product. Balances Needs - Customer, Supplier, Engineers, Marketing, & Manuf. needs. Concurrent Engineering Production Engg. Dept., AISSMS COE, PUNE Management - Good management is vitally important - Encourage communication - Strong management support By: N. G. Shekapure
  106. 106. Production & Industrial Management II (TE Prod S/W) Unit V 3 Main Areas to Concurrent Engineering 1) People (Formation of teams, Training) 2) Process (Changes in your processes, Be open to change) 3) Technology (Software. Hardware, and Networking) Concurrent Engineering Production Engg. Dept., AISSMS COE, PUNE 3 Main Areas to Concurrent Engineering 1) People (Formation of teams, Training) 2) Process (Changes in your processes, Be open to change) 3) Technology (Software. Hardware, and Networking) By: N. G. Shekapure
  107. 107. Production & Industrial Management II (TE Prod S/W) Unit V JIT Just in Time (JIT) Overview of Japanese Manufacturing System Production Engg. Dept., AISSMS COE, PUNE By: N. G. Shekapure
  108. 108. Production & Industrial Management II (TE Prod S/W) Unit V JIT Japanese Manufacturing Techniques • Emerged in the post-World War II era • Reached the height of their prominence in the 1980s • An emphasis on designing processes to optimize efficiency and A strong commitment to quality. • Toyota Production System (TPS), the core of which is just-in-time (JIT) production or so-called lean manufacturing. • Taiichi Ohno, a former Toyota executive, and Shigeo Shingo, an eminent engineer and consultant Production Engg. Dept., AISSMS COE, PUNE • Emerged in the post-World War II era • Reached the height of their prominence in the 1980s • An emphasis on designing processes to optimize efficiency and A strong commitment to quality. • Toyota Production System (TPS), the core of which is just-in-time (JIT) production or so-called lean manufacturing. • Taiichi Ohno, a former Toyota executive, and Shigeo Shingo, an eminent engineer and consultant By: N. G. Shekapure
  109. 109. Production & Industrial Management II (TE Prod S/W) Unit V JIT Toyota’s Production system Production Engg. Dept., AISSMS COE, PUNE By: N. G. Shekapure
  110. 110. Production & Industrial Management II (TE Prod S/W) Unit V JIT History of JIT Manufacturing Evolved in Japan after World War II, as a result of their diminishing market share in the auto industry. Toyota Motor Company- Birthplace of the JIT Philosophy Under Taiichi Ohno. •W. Edwards Deming •14 points for Management JIT is now on the rise in American Industries. Production Engg. Dept., AISSMS COE, PUNE Evolved in Japan after World War II, as a result of their diminishing market share in the auto industry. Toyota Motor Company- Birthplace of the JIT Philosophy Under Taiichi Ohno. •W. Edwards Deming •14 points for Management JIT is now on the rise in American Industries. By: N. G. Shekapure
  111. 111. Production & Industrial Management II (TE Prod S/W) Unit V JIT Developments of JIT and Lean Operations 1960’s: Developed as Toyota Production System by Taiichi Ohno and his colleagues 1970’s: U.S. and European auto makers began to apply JIT to improve quality and productivity 1990’s and beyond: Expanded the JIT concept to streamline all types of operations Production Engg. Dept., AISSMS COE, PUNE 1960’s: Developed as Toyota Production System by Taiichi Ohno and his colleagues 1970’s: U.S. and European auto makers began to apply JIT to improve quality and productivity 1990’s and beyond: Expanded the JIT concept to streamline all types of operations By: N. G. Shekapure
  112. 112. Production & Industrial Management II (TE Prod S/W) Unit V JIT Elimination of Waste • Knew they wouldn’t beat U.S. with product innovation, concentrated on licensing patents, and producing more efficiently • Costs prevented mass-production, volume strategy of American firms. • Find ways to reduce waste, cost Production Engg. Dept., AISSMS COE, PUNE • Knew they wouldn’t beat U.S. with product innovation, concentrated on licensing patents, and producing more efficiently • Costs prevented mass-production, volume strategy of American firms. • Find ways to reduce waste, cost Shigeo Shingo By: N. G. Shekapure
  113. 113. Production & Industrial Management II (TE Prod S/W) Unit V JIT -- the early years First two Toyotas imported to U.S. 1957 Production Engg. Dept., AISSMS COE, PUNE By: N. G. Shekapure
  114. 114. Production & Industrial Management II (TE Prod S/W) Unit V JIT Eliminating Waste Maximizing process efficiency and the returns on resources Identifying unnecessary uses of human, capital, or physical resources Production Engg. Dept., AISSMS COE, PUNE Maximizing process efficiency and the returns on resources Identifying unnecessary uses of human, capital, or physical resources By: N. G. Shekapure
  115. 115. Production & Industrial Management II (TE Prod S/W) Unit V JIT Waste Waste is ‘anything other than the minimum amount of equipment, materials, parts, space, and workers’ time which are absolutely essential to add value to the product. --Shoichiro Toyoda President, Toyota Motor Co. If you put your mind to it, you can squeeze water from a dry towel. -- Eiji Toyoda, President 1967-1982 Production Engg. Dept., AISSMS COE, PUNE Waste is ‘anything other than the minimum amount of equipment, materials, parts, space, and workers’ time which are absolutely essential to add value to the product. --Shoichiro Toyoda President, Toyota Motor Co. If you put your mind to it, you can squeeze water from a dry towel. -- Eiji Toyoda, President 1967-1982 By: N. G. Shekapure
  116. 116. Production & Industrial Management II (TE Prod S/W) Unit V JIT 7 Types of Waste (Ohno 1988) Overproduction Time on Hand (waiting time) Transportation Stock on Hand - Inventory Waste of Processing itself Movement Making Defective Products Production Engg. Dept., AISSMS COE, PUNE Overproduction Time on Hand (waiting time) Transportation Stock on Hand - Inventory Waste of Processing itself Movement Making Defective Products By: N. G. Shekapure
  117. 117. Production & Industrial Management II (TE Prod S/W) Unit V JIT Process Improvement Toyota system heavy emphasis was placed on lowering the time and complexity required to change a die in a manufacturing process. Occur through a series of smaller initiatives kaizen. In 1970 it took the company four hours to change a die for a 1,000- ton stamping press. Six months later, the changing time had been cut to one and a half hours 1971 Toyota had indeed achieved its goal of a three-minute die change. Western firms focused on training workers to master increasingly complicated tasks Selectively redesign the tasks so they could be more easily and reliably mastered (poka-yoke) Production Engg. Dept., AISSMS COE, PUNE Toyota system heavy emphasis was placed on lowering the time and complexity required to change a die in a manufacturing process. Occur through a series of smaller initiatives kaizen. In 1970 it took the company four hours to change a die for a 1,000- ton stamping press. Six months later, the changing time had been cut to one and a half hours 1971 Toyota had indeed achieved its goal of a three-minute die change. Western firms focused on training workers to master increasingly complicated tasks Selectively redesign the tasks so they could be more easily and reliably mastered (poka-yoke) By: N. G. Shekapure
  118. 118. Production & Industrial Management II (TE Prod S/W) Unit V JIT Value Added • Distinguish between activities that add value to a product and those that are logistical but add no value • Production process itself, where materials are being transformed into progressively functional work pieces. • Non Value Adding such as transporting materials, inspecting finished work, and most of all, idle time and delays Production Engg. Dept., AISSMS COE, PUNE • Distinguish between activities that add value to a product and those that are logistical but add no value • Production process itself, where materials are being transformed into progressively functional work pieces. • Non Value Adding such as transporting materials, inspecting finished work, and most of all, idle time and delays By: N. G. Shekapure
  119. 119. Production & Industrial Management II (TE Prod S/W) Unit V JIT Overproduction And Excess Inventory • To produce more than customers actually need—or sooner than they need it • Carrying inventory is wasteful • Systems like the Japanese kanban established a set of often simple visual cues in the factory • Company can reduce both the direct costs of holding/handling inventory as well as the indirect costs of tying up capital in the form of excess inventory Production Engg. Dept., AISSMS COE, PUNE • To produce more than customers actually need—or sooner than they need it • Carrying inventory is wasteful • Systems like the Japanese kanban established a set of often simple visual cues in the factory • Company can reduce both the direct costs of holding/handling inventory as well as the indirect costs of tying up capital in the form of excess inventory By: N. G. Shekapure
  120. 120. Production & Industrial Management II (TE Prod S/W) Unit V JIT Order-based Production • Customer information to drive their production decisions. • Effective market research/forecasting and communication with customers. • Guided by actual orders, rather than anticipated demand • “Pull" from the actual market, as opposed to “Push" that stems only from the manufacturer's conjecture. Production Engg. Dept., AISSMS COE, PUNE • Customer information to drive their production decisions. • Effective market research/forecasting and communication with customers. • Guided by actual orders, rather than anticipated demand • “Pull" from the actual market, as opposed to “Push" that stems only from the manufacturer's conjecture. By: N. G. Shekapure
  121. 121. Production & Industrial Management II (TE Prod S/W) Unit V JIT Transportation • Excess movement of items or materials. • Changing the layout of a factory, its geographic location relative to its customers • Mitigated through automation, ideal under the Japanese system is to minimize it altogether • Cell and flexible manufacturing layouts • Negatively affects small-lot, order-based production Production Engg. Dept., AISSMS COE, PUNE • Excess movement of items or materials. • Changing the layout of a factory, its geographic location relative to its customers • Mitigated through automation, ideal under the Japanese system is to minimize it altogether • Cell and flexible manufacturing layouts • Negatively affects small-lot, order-based production By: N. G. Shekapure
  122. 122. Production & Industrial Management II (TE Prod S/W) Unit V JIT Quality By Design • Marked attention to quality throughout the production process. • W. Edwards Deming and Joseph M. Juran • Designing it into the production process • Inform—and improve—the manufacturing process, not just to describe it. Production Engg. Dept., AISSMS COE, PUNE • Marked attention to quality throughout the production process. • W. Edwards Deming and Joseph M. Juran • Designing it into the production process • Inform—and improve—the manufacturing process, not just to describe it. By: N. G. Shekapure
  123. 123. Production & Industrial Management II (TE Prod S/W) Unit V JIT Market-driven Pricing • Market-determined price for a good and then engineer the manufacturing process to produce at this price profitably • Increases in costs are not passed on to the consumer in the form of higher prices • Lowering costs - practice central to the rise of the Japanese auto manufacturers in the U.S. market Production Engg. Dept., AISSMS COE, PUNE • Market-determined price for a good and then engineer the manufacturing process to produce at this price profitably • Increases in costs are not passed on to the consumer in the form of higher prices • Lowering costs - practice central to the rise of the Japanese auto manufacturers in the U.S. market By: N. G. Shekapure
  124. 124. Production & Industrial Management II (TE Prod S/W) Unit V JIT Worker Flexibility • Maximizing returns on human capital - human time is more valuable than machine time • Skills and Scheduling • Individual workers running several machines simultaneously, a practice called jidoka. • Multi-machine worker system reportedly achieved 20 to 30 percent gains in worker productivity. • Scheduling under just-in-time basis Production Engg. Dept., AISSMS COE, PUNE • Maximizing returns on human capital - human time is more valuable than machine time • Skills and Scheduling • Individual workers running several machines simultaneously, a practice called jidoka. • Multi-machine worker system reportedly achieved 20 to 30 percent gains in worker productivity. • Scheduling under just-in-time basis By: N. G. Shekapure
  125. 125. Production & Industrial Management II (TE Prod S/W) Unit V JIT Building Blocks for Just-in-Time Production Engg. Dept., AISSMS COE, PUNE By: N. G. Shekapure
  126. 126. Production & Industrial Management II (TE Prod S/W) Unit V JIT Manufacturing Planning and Control System and JIT Production Engg. Dept., AISSMS COE, PUNE By: N. G. Shekapure
  127. 127. Production & Industrial Management II (TE Prod S/W) Unit V JIT Why JIT • There is steep rise in customer’s base and unexpected due to spread of business on International platform. • Global Competition is increasing as customer has various options of choosing the different company’s product. • Just-in-time approach provides better business strategy to combat the challenge of meeting customer’s demand. Production Engg. Dept., AISSMS COE, PUNE • There is steep rise in customer’s base and unexpected due to spread of business on International platform. • Global Competition is increasing as customer has various options of choosing the different company’s product. • Just-in-time approach provides better business strategy to combat the challenge of meeting customer’s demand. By: N. G. Shekapure
  128. 128. Production & Industrial Management II (TE Prod S/W) Unit V Kanban Production Engg. Dept., AISSMS COE, PUNE By: N. G. Shekapure
  129. 129. Production & Industrial Management II (TE Prod S/W) Unit V QFD Quality Function Deployment (QFD) The Voice of the Customer Production Engg. Dept., AISSMS COE, PUNE The Voice of the Customer By: N. G. Shekapure
  130. 130. Production & Industrial Management II (TE Prod S/W) Unit V QFD What is QFD? "Time was when a man could order a pair of shoes directly from the cobbler. By measuring the foot himself and personally handling all aspects of manufacturing, the cobbler could assure the customer would be satisfied," Quality Function Deployment (QFD) was developed to bring this personal interface to modern manufacturing and business. In today's industrial society, where the growing distance between producers and users is a concern, QFD links the needs of the customer (end user) with design, development, engineering, manufacturing, and service functions. Production Engg. Dept., AISSMS COE, PUNE Quality Function Deployment (QFD) was developed to bring this personal interface to modern manufacturing and business. In today's industrial society, where the growing distance between producers and users is a concern, QFD links the needs of the customer (end user) with design, development, engineering, manufacturing, and service functions. By: N. G. Shekapure
  131. 131. Production & Industrial Management II (TE Prod S/W) Unit V QFD QFD is…. • Understanding Customer Requirements • Quality Systems Thinking + Psychology + Knowledge/Epistemology • Maximizing Positive Quality That Adds Value • Comprehensive Quality System for Customer Satisfaction • Strategy to Stay Ahead of The Game Production Engg. Dept., AISSMS COE, PUNE • Understanding Customer Requirements • Quality Systems Thinking + Psychology + Knowledge/Epistemology • Maximizing Positive Quality That Adds Value • Comprehensive Quality System for Customer Satisfaction • Strategy to Stay Ahead of The Game By: N. G. Shekapure
  132. 132. Production & Industrial Management II (TE Prod S/W) Unit V QFD What is QFD? Quality Function Deployment is a design planning process driven by customer requirements. 1. QFD deploys “The Voice of the Customer” throughout the organization. 2. QFD uses planning matrices -- each called “The House of Quality”. Production Engg. Dept., AISSMS COE, PUNE 1. QFD deploys “The Voice of the Customer” throughout the organization. 2. QFD uses planning matrices -- each called “The House of Quality”. By: N. G. Shekapure
  133. 133. Production & Industrial Management II (TE Prod S/W) Unit V QFD The House of Quality Production Engg. Dept., AISSMS COE, PUNE QFD-Tutorial By: N. G. Shekapure
  134. 134. Production & Industrial Management II (TE Prod S/W) Unit V QFD The House of Quality Production Engg. Dept., AISSMS COE, PUNE By: N. G. Shekapure
  135. 135. Production & Industrial Management II (TE Prod S/W) Unit V QFD The House of Quality Production Engg. Dept., AISSMS COE, PUNE By: N. G. Shekapure
  136. 136. Production & Industrial Management II (TE Prod S/W) Unit VI ISO International Organization for Standardization Production Engg. Dept., AISSMS COE, PUNE By: N. G. Shekapure Overview of ISO 9001 and ISO 14001
  137. 137. Production & Industrial Management II (TE Prod S/W) Unit VI ISO ISO 9001 and ISO 14001 in Brief • ISO 9001 and ISO 14001 are among ISO's most well known standards ever. • They are implemented by more than a million organizations in some 175 countries. • ISO 9001 helps organizations to implement quality management. • ISO 14001 helps organizations to implement environmental management. Production Engg. Dept., AISSMS COE, PUNE By: N. G. Shekapure • ISO 9001 and ISO 14001 are among ISO's most well known standards ever. • They are implemented by more than a million organizations in some 175 countries. • ISO 9001 helps organizations to implement quality management. • ISO 14001 helps organizations to implement environmental management.
  138. 138. Production & Industrial Management II (TE Prod S/W) Unit VI ISO Quality Management • ISO 9001 is for quality management. • Quality refers to all those features of a product (or service) which are required by the customer. • Quality management means what the organization does to ensure that its products or services satisfy the customer's quality requirements and comply with any regulations applicable to those products or services. • Quality management also means what the organization does to enhance customer satisfaction, and achieve continual improvement of its performance. Production Engg. Dept., AISSMS COE, PUNE By: N. G. Shekapure • ISO 9001 is for quality management. • Quality refers to all those features of a product (or service) which are required by the customer. • Quality management means what the organization does to ensure that its products or services satisfy the customer's quality requirements and comply with any regulations applicable to those products or services. • Quality management also means what the organization does to enhance customer satisfaction, and achieve continual improvement of its performance.
  139. 139. Production & Industrial Management II (TE Prod S/W) Unit VI ISO Environmental Management • ISO 14001 is for environmental management. This means what the organization does to: • Minimize harmful effects on the environment caused by its activities, • To conform to applicable regulatory requirements, and to… • Achieve continual improvement of its environmental performance. Production Engg. Dept., AISSMS COE, PUNE By: N. G. Shekapure • ISO 14001 is for environmental management. This means what the organization does to: • Minimize harmful effects on the environment caused by its activities, • To conform to applicable regulatory requirements, and to… • Achieve continual improvement of its environmental performance.
  140. 140. Production & Industrial Management II (TE Prod S/W) Unit VI ISO • ISO 9001 and ISO 14001 are generic standards. • Generic means that the same standards can be applied: to any organization, large or small, whatever its product or service, in any sector of activity, and whether it is a business enterprise, a public administration, or a government department. Generic Standards Production Engg. Dept., AISSMS COE, PUNE By: N. G. Shekapure • ISO 9001 and ISO 14001 are generic standards. • Generic means that the same standards can be applied: to any organization, large or small, whatever its product or service, in any sector of activity, and whether it is a business enterprise, a public administration, or a government department.
  141. 141. Production & Industrial Management II (TE Prod S/W) Unit VI ISO • Generic also signifies that • no matter what the organization's scope of activity • if it wants to establish a quality management system, ISO 9001 gives the essential features • or if it wants to establish an environmental management system, ISO 14001 gives the essential features. Generic Standards (Cont.) Production Engg. Dept., AISSMS COE, PUNE By: N. G. Shekapure • Generic also signifies that • no matter what the organization's scope of activity • if it wants to establish a quality management system, ISO 9001 gives the essential features • or if it wants to establish an environmental management system, ISO 14001 gives the essential features.
  142. 142. Production & Industrial Management II (TE Prod S/W) Unit VI ISO • To be really efficient and effective, the organization can manage its way of doing things by systemizing it. • Nothing important is left out. • Everyone is clear about who is responsible for doing what, when, how, why and where. • Management system standards provide the organization with an international, state-of-the-art model to follow. Manangement Systems Production Engg. Dept., AISSMS COE, PUNE By: N. G. Shekapure • To be really efficient and effective, the organization can manage its way of doing things by systemizing it. • Nothing important is left out. • Everyone is clear about who is responsible for doing what, when, how, why and where. • Management system standards provide the organization with an international, state-of-the-art model to follow.
  143. 143. Production & Industrial Management II (TE Prod S/W) Unit VI ISO • Large organizations, or ones with complicated processes, could not function well without management systems. • Companies in such fields as aerospace, automobiles, defence, or health care devices have been operating management systems for years. • The ISO 9001 and ISO 14001 management system standards now make these successful practices available for all organizations. Manangement Systems (Cont.) Production Engg. Dept., AISSMS COE, PUNE By: N. G. Shekapure • Large organizations, or ones with complicated processes, could not function well without management systems. • Companies in such fields as aerospace, automobiles, defence, or health care devices have been operating management systems for years. • The ISO 9001 and ISO 14001 management system standards now make these successful practices available for all organizations.
  144. 144. Production & Industrial Management II (TE Prod S/W) Unit VI ISO • Both ISO 9001 and ISO 14001 concern the way an organization goes about its work. • They are not product standards. • They are not service standards. • They are process standards. • They can be used by product manufacturers and service providers. Processes, not products Production Engg. Dept., AISSMS COE, PUNE By: N. G. Shekapure • Both ISO 9001 and ISO 14001 concern the way an organization goes about its work. • They are not product standards. • They are not service standards. • They are process standards. • They can be used by product manufacturers and service providers.
  145. 145. Production & Industrial Management II (TE Prod S/W) Unit VI ISO • Processes affect final products or services. • ISO 9001 gives the requirements for what the organization must do to manage processes affecting quality of its products and services. • ISO 14001 gives the requirements for what the organization must do to manage processes affecting the impact of its activities on the environment. Processes, not products (Cont.) Production Engg. Dept., AISSMS COE, PUNE By: N. G. Shekapure • Processes affect final products or services. • ISO 9001 gives the requirements for what the organization must do to manage processes affecting quality of its products and services. • ISO 14001 gives the requirements for what the organization must do to manage processes affecting the impact of its activities on the environment.
  146. 146. Production & Industrial Management II (TE Prod S/W) Unit VI ISO Certification and registration • Certification is known in some countries as registration. • It means that an independent, external body has audited an organization's management system and verified that it conforms to the requirements specified in the standard (ISO 9001 or ISO 14001). • ISO does not carry out certification and does not issue or approve certificates Production Engg. Dept., AISSMS COE, PUNE By: N. G. Shekapure • Certification is known in some countries as registration. • It means that an independent, external body has audited an organization's management system and verified that it conforms to the requirements specified in the standard (ISO 9001 or ISO 14001). • ISO does not carry out certification and does not issue or approve certificates
  147. 147. Production & Industrial Management II (TE Prod S/W) Unit VI ISO • Accreditation is like certification of the certification body. • It means the formal approval by a specialized body - an accreditation body - that a certification body is competent to carry out ISO 9001:2008 or ISO 14001:2004 certification in specified business sectors. • Certificates issued by accredited certification bodies - and known as accredited certificates - may be perceived on the market as having increased credibility. • ISO does not carry out or approve accreditations. Accreditation Production Engg. Dept., AISSMS COE, PUNE By: N. G. Shekapure • Accreditation is like certification of the certification body. • It means the formal approval by a specialized body - an accreditation body - that a certification body is competent to carry out ISO 9001:2008 or ISO 14001:2004 certification in specified business sectors. • Certificates issued by accredited certification bodies - and known as accredited certificates - may be perceived on the market as having increased credibility. • ISO does not carry out or approve accreditations.
  148. 148. Production & Industrial Management II (TE Prod S/W) Unit VI ISO • Certification is not a requirement of ISO 9001 or ISO 14001. • The organization can implement and benefit from an ISO 9001 or ISO 14001 system without having it certified. • The organization can implement them for the internal benefits without spending money on a certification programme. Certification not a requirement Production Engg. Dept., AISSMS COE, PUNE By: N. G. Shekapure • Certification is not a requirement of ISO 9001 or ISO 14001. • The organization can implement and benefit from an ISO 9001 or ISO 14001 system without having it certified. • The organization can implement them for the internal benefits without spending money on a certification programme.
  149. 149. Production & Industrial Management II (TE Prod S/W) Unit VI ISO • ISO does not carry out ISO 9001 or ISO 14001 certification. • ISO does not issue certificates. • ISO does not accredit, approve or control the certification bodies. • ISO develops standards and guides to encourage good practice in accreditation and certification. ISO does not certify Production Engg. Dept., AISSMS COE, PUNE By: N. G. Shekapure • ISO does not carry out ISO 9001 or ISO 14001 certification. • ISO does not issue certificates. • ISO does not accredit, approve or control the certification bodies. • ISO develops standards and guides to encourage good practice in accreditation and certification.
  150. 150. Production & Industrial Management II (TE Prod S/W) Unit VI ISO • ISO 9001 is the standard that gives the requirements for a quality management system. • ISO 9001:2008 is the latest, improved version. • It is the only standard in the ISO 9000 family that can be used for certification. • There are 16 other standards in the family that can help an organization on specific aspects such as performance improvement, auditing, training… The ISO 9000 Family Production Engg. Dept., AISSMS COE, PUNE By: N. G. Shekapure • ISO 9001 is the standard that gives the requirements for a quality management system. • ISO 9001:2008 is the latest, improved version. • It is the only standard in the ISO 9000 family that can be used for certification. • There are 16 other standards in the family that can help an organization on specific aspects such as performance improvement, auditing, training…
  151. 151. Production & Industrial Management II (TE Prod S/W) Unit VI ISO • ISO 14001 is the standard that gives the requirements for an environmental management system. • ISO 14001:2004 is the latest, improved version. • It is the only standard in the ISO 14000 family that can be used for certification. • The ISO 14000 family includes 21 other standards that can help an organization specific aspects such as auditing, environmental labelling, life cycle analysis… The ISO 9000 Family Production Engg. Dept., AISSMS COE, PUNE By: N. G. Shekapure • ISO 14001 is the standard that gives the requirements for an environmental management system. • ISO 14001:2004 is the latest, improved version. • It is the only standard in the ISO 14000 family that can be used for certification. • The ISO 14000 family includes 21 other standards that can help an organization specific aspects such as auditing, environmental labelling, life cycle analysis…
  152. 152. Production & Industrial Management II (TE Prod S/W) Unit VI ISO The ISO Survey Production Engg. Dept., AISSMS COE, PUNE By: N. G. Shekapure
  153. 153. Production & Industrial Management II (TE Prod S/W) Unit VI ISO Benefits of ISO 9001 and ISO 14001 • International, expert consensus on state-of-the-art practices for quality and environmental management. • Common language for dealing with customers and suppliers worldwide in B2B. • Increase efficiency and effectiveness. • Model for continual improvement. Production Engg. Dept., AISSMS COE, PUNE By: N. G. Shekapure • International, expert consensus on state-of-the-art practices for quality and environmental management. • Common language for dealing with customers and suppliers worldwide in B2B. • Increase efficiency and effectiveness. • Model for continual improvement.
  154. 154. Production & Industrial Management II (TE Prod S/W) Unit VI ISO Benefits of ISO 9001 and ISO 14001 (Cont.) • Model for satisfying customers and other stakeholders. • Build quality into products and services from design onwards. • Address environmental concerns of customers and public, and comply with government regulations. • Integrate with global economy. Production Engg. Dept., AISSMS COE, PUNE By: N. G. Shekapure • Model for satisfying customers and other stakeholders. • Build quality into products and services from design onwards. • Address environmental concerns of customers and public, and comply with government regulations. • Integrate with global economy.
  155. 155. Production & Industrial Management II (TE Prod S/W) Unit VI ISO Benefits of ISO 9001 and ISO 14001 (Cont.) • Sustainable business • Unifying base for industry sectors • Qualify suppliers for global supply chains • Technical support for regulations Production Engg. Dept., AISSMS COE, PUNE By: N. G. Shekapure • Sustainable business • Unifying base for industry sectors • Qualify suppliers for global supply chains • Technical support for regulations
  156. 156. Production & Industrial Management II (TE Prod S/W) Unit VI ISO • Transfer of good practice to developing countries • Tools for new economic players • Regional integration • Facilitate rise of services Benefits of ISO 9001 and ISO 14001 (Cont.) Production Engg. Dept., AISSMS COE, PUNE By: N. G. Shekapure • Transfer of good practice to developing countries • Tools for new economic players • Regional integration • Facilitate rise of services
  157. 157. Production & Industrial Management II (TE Prod S/W) Unit VI FMEA Failure Mode & Effects Analysis (FMEA) • FMEA is a systematic method of identifying and preventing system, product and process problems before they occur • FMEA is focused on preventing problems, enhancing safety, and increasing customer satisfaction • Ideally, FMEA’s are conducted in the product design or process development stages, although conducting an FMEA on existing products or processes may also yield benefits Production Engg. Dept., AISSMS COE, PUNE By: N. G. Shekapure • FMEA is a systematic method of identifying and preventing system, product and process problems before they occur • FMEA is focused on preventing problems, enhancing safety, and increasing customer satisfaction • Ideally, FMEA’s are conducted in the product design or process development stages, although conducting an FMEA on existing products or processes may also yield benefits
  158. 158. Production & Industrial Management II (TE Prod S/W) Unit VI FMEA FMEA History • The history of FMEA/FMECA goes back to the early 1950s and 1960s. • U.S. Navy Bureau of Aeronautics, followed by the Bureau of Naval Weapons: • National Aeronautics and Space Administration (NASA): • Department of Defense developed and revised the MIL-STD-1629A guidelines during the 1970s. Production Engg. Dept., AISSMS COE, PUNE By: N. G. Shekapure • The history of FMEA/FMECA goes back to the early 1950s and 1960s. • U.S. Navy Bureau of Aeronautics, followed by the Bureau of Naval Weapons: • National Aeronautics and Space Administration (NASA): • Department of Defense developed and revised the MIL-STD-1629A guidelines during the 1970s.
  159. 159. Production & Industrial Management II (TE Prod S/W) Unit VI FMEA FMEA is a Tool • FMEA is a tool that allows you to: • Prevent System, Product and Process problems before they occur • reduce costs by identifying system, product and process improvements early in the development cycle • Create more robust processes • Prioritize actions that decrease risk of failure • Evaluate the system,design and processes from a new vantage point Production Engg. Dept., AISSMS COE, PUNE By: N. G. Shekapure • FMEA is a tool that allows you to: • Prevent System, Product and Process problems before they occur • reduce costs by identifying system, product and process improvements early in the development cycle • Create more robust processes • Prioritize actions that decrease risk of failure • Evaluate the system,design and processes from a new vantage point
  160. 160. Production & Industrial Management II (TE Prod S/W) Unit VI FMEA A Systematic Process • FMEA provides a systematic process to: • Identify and evaluate • potential failure modes • potential causes of the failure mode • Identify and quantify the impact of potential failures • Identify and prioritize actions to reduce or eliminate the potential failure • Implement action plan based on assigned responsibilities and completion dates • Document the associated activities Production Engg. Dept., AISSMS COE, PUNE By: N. G. Shekapure • FMEA provides a systematic process to: • Identify and evaluate • potential failure modes • potential causes of the failure mode • Identify and quantify the impact of potential failures • Identify and prioritize actions to reduce or eliminate the potential failure • Implement action plan based on assigned responsibilities and completion dates • Document the associated activities
  161. 161. Production & Industrial Management II (TE Prod S/W) Unit VI FMEA Purpose/Benefit • Cost effective tool for maximizing and documenting the collective knowledge, experience, and insights of the engineering and manufacturing community • Format for communication across the disciplines • Provides logical, sequential steps for specifying product and process areas of concern Production Engg. Dept., AISSMS COE, PUNE By: N. G. Shekapure • Cost effective tool for maximizing and documenting the collective knowledge, experience, and insights of the engineering and manufacturing community • Format for communication across the disciplines • Provides logical, sequential steps for specifying product and process areas of concern

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