[To download this presentation, visit: https://www.oeconsulting.com.sg/training-presentations] The seven basic tools of quality is a designation given to a fixed set of graphical techniques identified as being most helpful in troubleshooting issues related to quality. They are called basic because they are suitable for people with little formal training in statistics and because they can be used to solve the vast majority of quality-related issues. The seven basic tools of quality or seven QC tools as they are commonly called, are tools which arrange problem areas, put data into diagrams, surface problem areas and clearly bring up any hidden truth. These tools are not for experts alone but for the use of everyone in their daily work. A problem solving team's successes are dependent on the familiarity and ease with which these tools are used. In this Seven Basic Tools of Quality PPT training presentation, you will be able to teach employees how to use the tools in their daily work or as part of the structured Plan-Do-Check-Act (PDCA) approach to problem solving. The basic tools can also be applied in A3 problem solving, 8D (Eight Disciplines) problem solving, Yellow Belt Lean Six Sigma projects, Green Belt Lean Six Sigma projects, Kaizen events, TPM Focused Improvement projects, etc. LEARNING OBJECTIVES 1. To understand the seven basic tools for quality and process improvement 2. To learn how to apply the seven basic tools of quality to problem solving or daily work CONTENTS 1. PDCA Problem-Solving 2. Stratification 3. Check Sheet 4. Control Chart 5. Pareto Chart 6. Cause & Effect Diagram 7. Histogram 8. Scatter Diagram

1. SEVEN BASIC TOOLS
OF QUALITY
© Operational Excellence Consulting. All rights reserved.

2. © Operational Excellence Consulting
LEARNING OBJECTIVES
2
To understand the
seven basic tools for
quality and process
improvement.
To learn how to apply
the seven basic tools
of quality to problem
solving or daily work.
1 2
NOTE: This is a PARTIAL PREVIEW.
To download the complete presentation, please
visit: https://www.oeconsulting.com.sg

3. © Operational Excellence Consulting
CONTENTS
3
1. PDCA Problem-Solving
2. Stratification
3. Check Sheet
4. Pareto Chart
5. Cause and Effect Diagram
6. Histogram
7. Scatter Diagram
8. Control Chart

4. © Operational Excellence Consulting
WHAT IS A PROBLEM?
A problem is a deviation from a standard, i.e., a difference between
what should be happening and what is actually happening.
Standard – what should
be happening
Current situation – what is
actually happening
Gap = Problem
4

5. © Operational Excellence Consulting
WHAT IS PROBLEM SOLVING?
● Problem-solving is the
elimination of the cause of a
nonconformity, potential
nonconformity or other
undesirable condition in order
to prevent its occurrence or
recurrence.
5

6. © Operational Excellence Consulting
ALIGNING PDCA CYCLE WITH THE PROBLEM-SOLVING PROCESS
6
1
2
3
4
5
6
7
8
Select the Theme
Plan the Schedule
Grasp the Present Situation
Establish the Target
Analyze the Cause & Identify Corrective Action
Implement Corrective Action
Evaluate the Result
Standardize & Follow-up
PLAN
ACT
CHECK
DO

7. © Operational Excellence Consulting
THE 8-STEP PDCA PROBLEM SOLVING PROCESS MODEL
7
1
2
3
4
5
6
7
8 Select the
Theme
Plan the
Schedule
Grasp the
Present
Situation
Establish
the Target
Analyze the
Cause & Identify
Corrective
Action
Implement
Corrective
Action
Evaluate
the Result
Standardize &
Follow Up
PDCA
PROBLEM
SOLVING
PROCESS

8. © Operational Excellence Consulting
WHERE ARE THE TOOLS USED IN PDCA PROBLEM SOLVING?
8
Phase Problem Solving Steps Applicable Tools
PLAN
1. Select the Theme
Brainstorming / Matrix Diagram / Selection Criteria / Team
Consensus
2. Plan the Schedule Gantt Chart
3. Grasp the Present Situation
Data Collection / Stratification / Flowcharting / Pie Chart / Check
Sheet / Pareto Diagram / Bar Chart / Histogram
4. Set the Target Pareto Analysis / Conduct Experiments / Check Past Trends
5. Analyze the Cause & Identify
Corrective Action
Brainstorming / Cause & Effect Diagram / 5 Whys / Tree Diagram /
Control Chart / Scatter Diagram / Alternative Solutions
DO 6. Implement Corrective Action Arrow Diagram / Process Flowchart / Pictures / Diagrams
CHECK 7. Evaluate the Result
Collect New Data / Check Sheet / Pareto Comparison / Bar Chart
Comparison / Radar Chart / Target Variance
ACT 8. Standardize & Follow Up
In the standardization plan, document the new procedures. Display
on notice board or intranet or conduct briefings.
Show the follow-up actions using the PDPC.

9. © Operational Excellence Consulting
THE 7 BASIC TOOLS OF QUALITY
9
1. Stratification
2. Check Sheet
3. Pareto Chart
4. Cause and Effect Diagram
5. Histogram
6. Scatter Diagram
7. Control Chart

10. © Operational Excellence Consulting
“
DR. KAORU ISHUKAWA
10
As much as 95% of quality
related problems in the
factory can be solved with
seven fundamental
quantitative tools.”

11. © Operational Excellence Consulting
STRATIFICATION: PURPOSES
11
Identifying Patterns
Uncover patterns or
variations within data
subsets.
Root Cause
Analysis
Facilitate the
identification of
underlying issues.
Data Segmentation
Divide data into distinct
categories for analysis.

12. © Operational Excellence Consulting
EXAMPLE 2: STRATIFICATION BY MACHINE
12
0
5
10
15
20
25
30
35
40
1 2 3 4 5 6
Machine A
Machine B
Machine C
Defect
Quantity
Month
ILLUSTRATIVE

13. © Operational Excellence Consulting 13
CHECK SHEET: WHEN TO USE
Quality Control
Inspections
During quality control
inspections to record
observations.
Problem
Identification
When identifying and
analyzing problems to
gather relevant data.
Routine Monitoring
When regularly
monitoring a process or
activity.

14. © Operational Excellence Consulting
EXAMPLE: DEFECT TRACKING
14
Defective Item
Mon
9/3
Tue
10/3
Wed
11/3
Thu
12/3
Fri
13/3
Total
Mold Cracked 5 3 6 3 4 21
Fibers 2 0 5 1 0 8
Grit 4 2 3 5 0 14
Pinholes 1 5 0 2 1 9
Cracks 0 1 1 0 0 2
Other 1 3 0 0 3 7
Total 13 14 15 11 8 61
Defect Tracking Check Sheet (9/3 to 13/3)
ILLUSTRATIVE

15. © Operational Excellence Consulting
PARETO’S PRINCIPLE (80/20 RULE)
Examples:
● 80% of your net income comes from
20% of your customers
● 80% of your sales are generated by
20% of your products
● 80% of your emotions are created by
20% of your thoughts
● 80% of your work results from 20% of
your effort
15
Effort Result
20%
20%
80%
80%
Important Not Important

16. © Operational Excellence Consulting
EXAMPLE 1: PIZZA DEFECTS
16
Wrong
Toppings
Pizza
Cold
Pizza
Late
Wrong
Crust
Tastes
Bad
Forgot
Breadstic
ks
Driver
Had No
Change
Smashed
in Box
Wrong
Price
Driver
Rude
All other
Quantity 29 25 22 13 10 7 4 3 2 1 2
Cum % 25% 46% 64% 75% 84% 90% 93% 96% 97% 98% 100%
% of Total 25% 21% 19% 11% 8% 6% 3% 3% 2% 1% 2%
0%
20%
40%
60%
80%
100%
120%
-
5
10
15
20
25
30
35
Cumulative
Percent
Occurrences
Pareto Chart of Pizza Defects
ILLUSTRATIVE

17. © Operational Excellence Consulting
EXAMPLE 2: COMPARING ‘BEFORE’ AND ‘AFTER’ RESULTS
17
ILLUSTRATIVE
Before:
Jan-Jun 2021
Errors Made on Faxed Orders
After:
Jul-Dec 2021
10
20
30
40
50
60
70
80
90
100
110
120
0
Missing
Information
Wrong Product
Information
Unreadable Wrong Billing
Information
PO and Order
Form don’t Match
Other
Count
Error Type

18. © Operational Excellence Consulting
“
When we fail to grasp the
systemic source of problems,
we are left to ‘push on’
symptoms rather than
eliminate underlying causes.”
PETER SENGE
18
The Fifth Discipline

19. © Operational Excellence Consulting
CAUSE & EFFECT DIAGRAM: PURPOSES
19
Visualize
Relationships
Visually represent the
relationships between
causes and effects.
Problem Solving
Support collaborative
problem-solving and
analysis.
Identify Causes
Systematically identify
potential causes of a
specific issue.

20. © Operational Excellence Consulting
CAUSE & EFFECT DIAGRAM (MANUFACTURING)
20
EFFECT
CAUSES
S
u
b
-
c
a
u
s
e
Cause
Machines
Measurements Materials
Methods
Environment
Manpower
Problem
Statement

21. © Operational Excellence Consulting
HIGH
SCRAP OF
BARCODE
LABELS
MAN MACHINE
MATERIAL METHOD
Handling
Wrinkled
Torn
Improper
training
Machine
Breakdown
Ineffective
adhesive
Illegible
Smear
Printwheel Dirty
Worn Ribbon
Design of label
Damage
Poor printing
Improper storage
Wrong orientation
Process changes
Improper storage
Size of label
Process changes
EXAMPLE 1: CAUSE AND EFFECT DIAGRAM FOR “HIGH SCRAP OF
BARCODE LABELS” ILLUSTRATIVE

22. © Operational Excellence Consulting
EXAMPLE: HISTOGRAM OF TURNAROUND TIMES
ILLUSTRATIVE
Histogram of Pharmacy Drug Dispensing Turnaround Times
50
40
60
30
10
0
20
0 - 10 11 - 20 21 - 30 31 - 40 41 - 50 51 - 60 61 - 70 71 - 80 81 - 90 91 - 100
Frequency
Turnaround Time (mins)
22

23. © Operational Excellence Consulting
● Clearly define and label data bins
for accurate representation
● Select interval widths that suit the
data distribution for clarity
● Ensure uniformity in units across
the histogram for accuracy
HISTOGRAM: PRACTICAL TIPS
● Clearly title and label the
histogram for easy interpretation
● Balance bar heights to avoid
distortion and misinterpretation
● Adapt the histogram to suit the
audience’s familiarity with
statistical concepts
23

24. © Operational Excellence Consulting
EXAMPLE: SCATTER DIAGRAM
24
0
1
2
3
4
5
0 5 10 15 20
Quantitative
Values
Part Clearance
Relationship between Variables
ILLUSTRATIVE

25. © Operational Excellence Consulting
“
W. EDWARDS DEMING
25
Understanding variation
is the key to success in
quality and business.”

26. © Operational Excellence Consulting
EXAMPLE: CONTROL CHART
26
Data points outside the control limits suggest that there are
special causes to the process deviation.
Upper Control Limit
Lower Control Limit
Average

27. © Operational Excellence Consulting
p-, np-, c-, AND u-CHARTS CREATION
27
1. Sampling Plan: Determine the appropriate sampling plan.
2. Data Collection: Collect sample data at specified intervals.
3. Metric Calculation: Calculate relevant metric (n, np, c, or u). Calculate
appropriate centerline.
4. Plotting: Plot the data.
5. Control Limits: After 20+ measurements, calculate control limits. Take
action if the chart is out of control.

28. © Operational Excellence Consulting
CONTROL CHARTS: SPECIAL CAUSES
28
UCL
LCL
UCL
LCL
UCL
LCL
UCL
LCL
OUTLIERS SHIFTS
TRENDS CYCLES
X
X
X
X
X
1 data point falling outside the control limits
6 or more points in a row steadily increasing
or decreasing
8 or more points in a row on one side of the
centerline
14 or more points alternating up and down

29. © Operational Excellence Consulting
Operational Excellence Consulting is a
management training and consulting firm
that assists organizations in improving
business performance and effectiveness.
Based in Singapore, the firm’s mission is to
create business value for organizations
through innovative design and operational
excellence management training and
consulting solutions. For more information,
please visit www.oeconsulting.com.sg
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