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QUALITY CONTROL &QUALITY CONTROL &
QUALITY ASSURANCEQUALITY ASSURANCE
What is Quality?What is Quality?
 The concept of quality is subjective and difficultThe concept of quality is subjective and difficult
to defineto define
 Certain aspects of quality can be identifiedCertain aspects of quality can be identified
 Ultimately, the judgement of quality rests withUltimately, the judgement of quality rests with
the customerthe customer
CUSTOMER-DRIVEN QUALITYCUSTOMER-DRIVEN QUALITY
 A simpler, more powerful definition cameA simpler, more powerful definition came
up….up….
““ Quality is meeting or exceedingQuality is meeting or exceeding
customer expectations ”customer expectations ”
What is Quality?What is Quality?
The International Organization for StandardizationThe International Organization for Standardization
(ISO) defines quality as the totality of characteristics(ISO) defines quality as the totality of characteristics
of an entity that bear on its ability to satisfyof an entity that bear on its ability to satisfy statedstated
(confirmed) or(confirmed) or ImpliedImplied (indirect) needs.(indirect) needs.
Other experts define quality based on:Other experts define quality based on:
• conformance to requirements: meeting written specificationsconformance to requirements: meeting written specifications
• fitness for use: ensuring a product can be used as it was intendedfitness for use: ensuring a product can be used as it was intended
QualityQuality
meansmeans
pleasing consumerspleasing consumers
notnot
just protecting themjust protecting them
from annoyancesfrom annoyances
QualityQuality
is an ever-changing stateis an ever-changing state
(i.e., what is considered(i.e., what is considered
quality today may not be goodquality today may not be good
enough to be consideredenough to be considered
quality tomorrow!)quality tomorrow!)
QualityQuality
is a dynamic state associatedis a dynamic state associated
with products, services,with products, services,
people, processes andpeople, processes and
environments that meets orenvironments that meets or
exceeds customerexceeds customer
expectations.expectations.
DEFINING QUALITYDEFINING QUALITY
 Quality can be confusing concept, partlyQuality can be confusing concept, partly
because people view quality in relation tobecause people view quality in relation to
differing criteriadiffering criteria
 The meaning of quality continues to evolveThe meaning of quality continues to evolve
as the quality profession grows and maturesas the quality profession grows and matures
 A study that asked managers of 86 firms inA study that asked managers of 86 firms in
the eastern U.S. to define quality producedthe eastern U.S. to define quality produced
several dozen different responses:several dozen different responses:
DEFINING QUALITYDEFINING QUALITY
 PerfectionPerfection
 ConsistencyConsistency
 Eliminating wasteEliminating waste
 Speed of deliverySpeed of delivery
 Compliance with policies & proceduresCompliance with policies & procedures
 Providing good, usable productsProviding good, usable products
 Doing it right the first timeDoing it right the first time
 Delighting or pleasing customersDelighting or pleasing customers
 Total customer service & satisfactionTotal customer service & satisfaction
Elements of QualityElements of Quality
 Basic elements of quality includeBasic elements of quality include
1.1. Quality characteristicsQuality characteristics
2.2. Quality of designQuality of design
3.3. Quality of conformanceQuality of conformance
Elements of QualityElements of Quality
 Quality characteristicsQuality characteristics:-:-
The term quality characteristics is usedThe term quality characteristics is used
for one or more properties that define thefor one or more properties that define the
nature of a product for quality-controlnature of a product for quality-control
purpose. Quality characteristics includepurpose. Quality characteristics include
dimension, color, strength, temperature,dimension, color, strength, temperature,
etc.etc.
For example concrete, qualityFor example concrete, quality
characteristics of commonly specify andcharacteristics of commonly specify and
control concrete include compressivecontrol concrete include compressive
strength after a fixed curing time.strength after a fixed curing time.
 Quality of design:-Quality of design:-
It is often specified not only theIt is often specified not only the
desired standard for thedesired standard for the
characteristics that define a productcharacteristics that define a product
such as a dimension or strength, butsuch as a dimension or strength, but
also tolerance or ranges foralso tolerance or ranges for
acceptable variation from theacceptable variation from the
standards.standards.
For example, reinforcing bar spacingFor example, reinforcing bar spacing
might be specified as 12cm or amight be specified as 12cm or a
concrete specification requesting aconcrete specification requesting a
compressing strength of 200 kg/cmcompressing strength of 200 kg/cm
sq.sq.
Elements of QualityElements of Quality
Elements of QualityElements of Quality
 Quality of Conformance:-Quality of Conformance:-
The degree to which the physical workThe degree to which the physical work
produced conforms to this standard.produced conforms to this standard.
For example, a journeyman welderFor example, a journeyman welder
producing pipe welds with a reject rate ofproducing pipe welds with a reject rate of
only 3 per 100 has a much higher qualityonly 3 per 100 has a much higher quality
of conformance than an apprentice with aof conformance than an apprentice with a
reject rate of 17 per 100reject rate of 17 per 100 ..
Economics of QualityEconomics of Quality
Economics of quality must be consideredEconomics of quality must be considered
in both design and construction. Economicin both design and construction. Economic
concept applicable to each will beconcept applicable to each will be
introduced here,introduced here,
 Quality economics in designQuality economics in design
 Economics of quality of conformanceEconomics of quality of conformance
Economics of QualityEconomics of Quality

Quality economics in design:-Quality economics in design:-
In the simplest form, figure illustrates theIn the simplest form, figure illustrates the
relationship between the cost value of quality.relationship between the cost value of quality.
The horizontal axis relates to the quality ofThe horizontal axis relates to the quality of
design as reflected by quality characteristicsdesign as reflected by quality characteristics
chosen for the item concerned. As qualitychosen for the item concerned. As quality
increases, the vertical shows that both theincreases, the vertical shows that both the
cost and the value of the quality increases ascost and the value of the quality increases as
well, but in a different manner.well, but in a different manner.
Quality economics inQuality economics in
designdesign
Economics of QualityEconomics of Quality
 Economics of quality of conformance:-Economics of quality of conformance:-
Simply stated, quality control costs money.Simply stated, quality control costs money.
There are two main ingredients to this costThere are two main ingredients to this cost
1.1. the cost of skilled labor, equipment, material,the cost of skilled labor, equipment, material,
methods and supervision to produce qualitymethods and supervision to produce quality
outputs.outputs.
2.2. The cost of monitoring and verifying theThe cost of monitoring and verifying the
quality of output and of correcting orquality of output and of correcting or
replacing defective work.replacing defective work.
Economics of Quality ofEconomics of Quality of
ConformanceConformance
Cost of Poor QualityCost of Poor Quality
 Prevention costsPrevention costs
 build it right the first timebuild it right the first time
 Appraisal costsAppraisal costs
 inspection and testinginspection and testing
 Internal failure costsInternal failure costs
 scrap and reworkscrap and rework
 External failure costsExternal failure costs
 warranty claims, recalls, lost businesswarranty claims, recalls, lost business
Cost of Poor Quality
 Prevention costs:Prevention costs:
 These are planned costs an organization incurs to ensure thatThese are planned costs an organization incurs to ensure that
errors are not made at any stage during theerrors are not made at any stage during the delivery processdelivery process ofof
that product orthat product or service to a customerservice to a customer ..
 TheThe delivery processdelivery process may includemay include designdesign,, developmentdevelopment,,
productionproduction andand shippingshipping..
 Examples: Quality planning costs, Information system costs,Examples: Quality planning costs, Information system costs,
education and training costs, quality administration staff costs,education and training costs, quality administration staff costs,
process control costs, market research costs, field testing costsprocess control costs, market research costs, field testing costs
and preventive maintenance costs.and preventive maintenance costs.
 The costs of preventing mistakes are always much lesser thanThe costs of preventing mistakes are always much lesser than
the costs of inspection and correction.the costs of inspection and correction.
Cost of Poor QualityCost of Poor Quality
 Appraisal costs:Appraisal costs:
 These include the costs of verifying, checking orThese include the costs of verifying, checking or
evaluating a product or service during the deliveryevaluating a product or service during the delivery
process.process.
 Examples: internal production audit costs, test andExamples: internal production audit costs, test and
inspection costs, instrument maintenance costs,inspection costs, instrument maintenance costs,
supplier evaluation costs, and audit report costs.supplier evaluation costs, and audit report costs.
Cost of Poor QualityCost of Poor Quality
 Failure costs:Failure costs:
 A company incurs these costs because the product orA company incurs these costs because the product or
service did not meet the requirements and had to beservice did not meet the requirements and had to be
fixed or replaced, or the service had to be repeated.fixed or replaced, or the service had to be repeated.
 These failure costs can be further subdivided into twoThese failure costs can be further subdivided into two
groups:groups:
 Internal Failures:Internal Failures:
 Internal failures include all costs resulting from theInternal failures include all costs resulting from the
failures found before the product or service reachesfailures found before the product or service reaches
the customer.the customer.
 Examples: scrap and rework costs, repair costs, andExamples: scrap and rework costs, repair costs, and
corrective action costs from nonconforming productcorrective action costs from nonconforming product
or service.or service.
Cost of Poor QualityCost of Poor Quality
 External failures:External failures:
 External failures occur when the customer finds theExternal failures occur when the customer finds the
failure.failure.
 Examples: warranty claim costs, customer complaintExamples: warranty claim costs, customer complaint
costs, shipping costs, and customer follow-up costs.costs, shipping costs, and customer follow-up costs.
Cost of Poor QualityCost of Poor Quality
 Total Quality cost, is a combination ofTotal Quality cost, is a combination of prevention,prevention,
appraisal & failureappraisal & failure. Reducing any of these reduces total.. Reducing any of these reduces total.
 Key to minimum cost, is striking correct balance b/wKey to minimum cost, is striking correct balance b/w
three.three.
 ClearlyClearly prevention reduces both appraisal and failureprevention reduces both appraisal and failure
costscosts, -eventually cost of prevention itself starts to, -eventually cost of prevention itself starts to
increase total cost & so must be controlled & set at anincrease total cost & so must be controlled & set at an
effective level.effective level.
Cost of Poor QualityCost of Poor Quality
Cost of QualityCost of Quality
ExampleExample
 Trying to save a few project dollars by reducing
conformance costs could prove disastrous.
For example, an American company won a contract as
a supplier of Japanese parts. The initial contract called
for the delivery of 10,000 parts. During inspection and
testing at the customer’s (i.e., Japanese) facility, two
rejects were discovered. The Japanese returned all
10,000 components to the American supplier stating
that this batch was not acceptable. In this example, the
nonconformance cost could easily be an order of
magnitude greater than the conformance cost.
The moral is clear:
Build it right the first time.
Total Quality CostTotal Quality Cost
Basic Quality FunctionBasic Quality Function
1. DEFECTS / REJECTS
2. COMPLAINTS
3. CONSISTENCY
4. PRECISION
5. ACCURACY
6. VARIATION
Precision and AccuracyPrecision and Accuracy
In the fields of science, engineering, industry
and statistics, the accuracy of a measurement
system is the degree of closeness of
measurements of a quantity to that quantity's
actual (true) value. The precision of a
measurement system, also called reproducibility
or repeatability, is the degree to which repeated
measurements under unchanged conditions
show the same results. Although the two words
reproducibility and repeatability can be
synonymous in colloquial use, they are
deliberately contrasted in the context of the
scientific method.
Hierarchy of QualityHierarchy of Quality
Hierarchy of Quality follows the evolution of Quality
management from
Simple inspection
To
Total Quality Management system
Development of QualityDevelopment of Quality
 Four Level modelFour Level model
1. Inspection1. Inspection
 After-event-screening -After-event-screening - DetectionDetection basedbased
2. Quality Control2. Quality Control
 Introduction of basic systems - stillIntroduction of basic systems - still DetectionDetection BasedBased
3. Quality Assurance3. Quality Assurance
 Development of complex systems -Development of complex systems - PreventionPrevention basedbased
4. Total Quality Management4. Total Quality Management
 Development of culture -Development of culture - PeoplePeople basedbased
InspectionInspection
 (ISO8402)(ISO8402)
 ““Activity such as measuring, examining, testing,Activity such as measuring, examining, testing,
or gauging one or more characteristics of anor gauging one or more characteristics of an
entity and comparing the results with specifiedentity and comparing the results with specified
requirements in order to establish whetherrequirements in order to establish whether
conformity is achieved for each characteristic”conformity is achieved for each characteristic”
InspectionInspection
 Lowest level of quality developmentLowest level of quality development
 Key product characteristics examinedKey product characteristics examined
 Compared to known standardCompared to known standard
 After the eventAfter the event
 Inspection will not provide any basis for processInspection will not provide any basis for process
improvementimprovement
Quality ControlQuality Control
 Defined as (ISO8402)Defined as (ISO8402)
 ““Operational techniques and activities that are usedOperational techniques and activities that are used
to fulfill requirements for quality”to fulfill requirements for quality”
 Developed from inspection of methods, systemsDeveloped from inspection of methods, systems
and tools & techniquesand tools & techniques
 More emphasis on feedbackMore emphasis on feedback
 Main mechanism still inspection basedMain mechanism still inspection based
 Physical characteristics of productPhysical characteristics of product
Quality ControlQuality Control
 The second level of quality developmentThe second level of quality development
 It will not improve quality, just highlight when it is notIt will not improve quality, just highlight when it is not
presentpresent
 In many cases QC does not identify the root cause ofIn many cases QC does not identify the root cause of
the non-conformancethe non-conformance
Quality ControlQuality Control
 The second level of quality developmentThe second level of quality development
 Development of inspection proceduresDevelopment of inspection procedures
 Calibration, limited quality auditsCalibration, limited quality audits
 Use of basic QC toolsUse of basic QC tools
 Defect recording and analysisDefect recording and analysis
 Quality costs still unknownQuality costs still unknown
 Use of operator self inspectionUse of operator self inspection
 Still largely based on goods inspectionStill largely based on goods inspection
 Reliance on inspection to catch non-conforming workReliance on inspection to catch non-conforming work
 It will not improve quality, just highlight when it is notIt will not improve quality, just highlight when it is not
presentpresent
 In many cases QC does not identify the root cause ofIn many cases QC does not identify the root cause of
the non-conformancethe non-conformance
Quality AssuranceQuality Assurance
““Quality assurance includes “allQuality assurance includes “all
planned & systematic activitiesplanned & systematic activities
implemented within the qualityimplemented within the quality
system, & demonstrated assystem, & demonstrated as
needed, to provide adequateneeded, to provide adequate
confidence that an entity willconfidence that an entity will
fulfill requirements for quality”.fulfill requirements for quality”.
Quality AssuranceQuality Assurance
““Quality Assurance covers all activitiesQuality Assurance covers all activities
from design, development, production,from design, development, production,
installation, servicing andinstallation, servicing and
documentation, this introduced thedocumentation, this introduced the
rule “Fit for purpose” and “do it rightrule “Fit for purpose” and “do it right
first time”. It includes the regulation offirst time”. It includes the regulation of
the quality of raw materials,the quality of raw materials,
assemblies, products and components;assemblies, products and components;
services related to production; andservices related to production; and
management, production, andmanagement, production, and
inspection processes.“inspection processes.“
Quality AssuranceQuality Assurance
 Defined as (ISO8402)Defined as (ISO8402)
 ““All the planned and systematic activitiesAll the planned and systematic activities
implemented within the quality system,implemented within the quality system,
and demonstrated as needed to provideand demonstrated as needed to provide
adequate confidence that an entity willadequate confidence that an entity will
fulfil requirements for qualityfulfil requirements for quality ””
 Issues of progression from QC to QAIssues of progression from QC to QA
 Change in emphasis from product to processChange in emphasis from product to process
Diff b/w QA and QCDiff b/w QA and QC
Quality AssuranceQuality Assurance Quality ControlQuality Control
Meant for developing,Meant for developing,
organizing the best qualityorganizing the best quality
process.process.
Meant for implementing theMeant for implementing the
process developed by formerprocess developed by former
team.team.
Is the process related.Is the process related. Is the actual testing of theIs the actual testing of the
system.system.
Focuses on building inFocuses on building in
quality....and hencequality....and hence
preventing defects.preventing defects.
Focuses on testing forFocuses on testing for
quality...and hence detectingquality...and hence detecting
defects.defects.
Deals with processDeals with process Deals with productDeals with product
Diff b/w QA and QCDiff b/w QA and QC
QualityQuality AssuranceAssurance Quality ControlQuality Control
Makes sure you areMakes sure you are
doing the right things,doing the right things,
the right way.the right way.
Makes sure the resultsMakes sure the results
of what you've done areof what you've done are
what you expected.what you expected.
Is preventive process.Is preventive process. Is corrective process.Is corrective process.
Activities ensure thatActivities ensure that
the process is definedthe process is defined
and appropriate.and appropriate.
Activities focus onActivities focus on
finding defects infinding defects in
specific deliverables -specific deliverables -
e.g., are the definede.g., are the defined
requirements the rightrequirements the right
What is Total QualityWhat is Total Quality
Total Quality means quality of work,
quality of service, quality of information,
quality of process, quality of organization,
quality of people, quality of company and
quality of objectives.
Total Quality ManagementTotal Quality Management
TQM a philosophy set of guidingTQM a philosophy set of guiding
principals that represent the foundation ofprincipals that represent the foundation of
a continuously improving organization.a continuously improving organization.
TQM is the application of quantitativeTQM is the application of quantitative
methods and human resources tomethods and human resources to
improve the material and servicesimprove the material and services
supplied to an organization, and all thesupplied to an organization, and all the
processes within an organization, andprocesses within an organization, and
degree to which needs of the customerdegree to which needs of the customer
are met, now and in the future.are met, now and in the future.
Total Quality ManagementTotal Quality Management
 Represents the most advanced stage of qualityRepresents the most advanced stage of quality
developmentdevelopment
 A Management philosophyA Management philosophy
 Application of QM to all aspects of businessApplication of QM to all aspects of business
 Focused on the requirements of the customerFocused on the requirements of the customer
 Recognizes the importance of suppliersRecognizes the importance of suppliers
 Company wide approachCompany wide approach
 Continual improvementContinual improvement
 Integration of all quality systems & proceduresIntegration of all quality systems & procedures
 Development of organizational cultureDevelopment of organizational culture
DEFINITION OF TOTAL QUALITYDEFINITION OF TOTAL QUALITY
Total Quality describes the state of anTotal Quality describes the state of an
organization in which all the activities of allorganization in which all the activities of all
functions are designed and carried out infunctions are designed and carried out in
such a way thatsuch a way that
 all external customer requirements are metall external customer requirements are met
 while reducing internal time and cost,while reducing internal time and cost,
 and enhancing the workplace climate.and enhancing the workplace climate.
The Profile of TQMThe Profile of TQM
TQM is a:TQM is a:
• ScientificScientific
• SystematicSystematic
• Company – WideCompany – Wide
Activity in whichActivity in which
A company is devoted to customers throughA company is devoted to customers through
its products and services.its products and services.
A TQM Approach To ManagementA TQM Approach To Management
A unique blending of :A unique blending of :
 (a) Objective, practical, & quantitative aspects(a) Objective, practical, & quantitative aspects
of management, e.g. Focus on processes &of management, e.g. Focus on processes &
reliance on quantitative data & statisticalreliance on quantitative data & statistical
analysis for decision-making:analysis for decision-making:
 (b) “soft” aspects of mgt, e.g. providing(b) “soft” aspects of mgt, e.g. providing
visionary leadership, promoting a spirit ofvisionary leadership, promoting a spirit of
cooperation teamwork, and practicingcooperation teamwork, and practicing
participative management.participative management.
 Many organizations when deciding to undertakeMany organizations when deciding to undertake
a TQM effort focus on one or other of thesea TQM effort focus on one or other of these
general approaches.general approaches.
 A fully successful effort requires balancedA fully successful effort requires balanced
attention to both.attention to both.
Quality ManagementQuality Management
 All activities of the overallAll activities of the overall
management function thatmanagement function that
determine the quality policy,determine the quality policy,
objectives and responsibilities andobjectives and responsibilities and
implement planning, quality control,implement planning, quality control,
quality assurance and qualityquality assurance and quality
improvement within the qualityimprovement within the quality
system” (ISO 840)system” (ISO 840)
Quality policy sample 1Quality policy sample 1
 Company XYZ provides quality management, co-Company XYZ provides quality management, co-
ordination, manufacture and installation servicesordination, manufacture and installation services
throughout the UK and sometimes abroad. The Companythroughout the UK and sometimes abroad. The Company
has developed its expertise since its establishment andhas developed its expertise since its establishment and
its aim is to achieve a high standard of construction andits aim is to achieve a high standard of construction and
service to its customers.service to its customers.
 It is the policy of Company XYZ to provide the customerIt is the policy of Company XYZ to provide the customer
with goods and services to the agreed requirement inwith goods and services to the agreed requirement in
accordance with the details and price.accordance with the details and price.
 The Directors, Management and Staff are responsible forThe Directors, Management and Staff are responsible for
Quality Control through the Quality Management SystemQuality Control through the Quality Management System
seeking improvement by constant review, with suppliersseeking improvement by constant review, with suppliers
and sub-contractors being encouraged to co-operate. Theand sub-contractors being encouraged to co-operate. The
Company is committed to achieving customer satisfactionCompany is committed to achieving customer satisfaction
by the use of quality procedures which will be operatedby the use of quality procedures which will be operated
to meet or exceed the requirements of ISO 9001.to meet or exceed the requirements of ISO 9001.
Quality policy sample 2Quality policy sample 2
 Our Quality Policy is defined and strongly driven by the followingOur Quality Policy is defined and strongly driven by the following
management principles and behaviors:management principles and behaviors:
• Build a mutually profitable relationship with our customers, ensuring their• Build a mutually profitable relationship with our customers, ensuring their
long-term success, through the understanding of their needs and thelong-term success, through the understanding of their needs and the
needs of their customers as wellneeds of their customers as well
• Achieve our commitments for quality, cost, and schedule• Achieve our commitments for quality, cost, and schedule
• Enhance the systematic research and use of best preventive practices at• Enhance the systematic research and use of best preventive practices at
all levels and ensure reliable risk managementall levels and ensure reliable risk management
• Drive continual improvement and innovation based upon efficient• Drive continual improvement and innovation based upon efficient
business processes, well-defined measurements, best practices, andbusiness processes, well-defined measurements, best practices, and
customer surveyscustomer surveys
• Develop staff competencies, creativity, empowerment and accountability• Develop staff competencies, creativity, empowerment and accountability
through appropriate development programs and show strong managementthrough appropriate development programs and show strong management
involvement and commitmentinvolvement and commitment
 Company XYZ strives to be the best provider of inspection services in theCompany XYZ strives to be the best provider of inspection services in the
industry. Through the use of these guiding principles, everyone inindustry. Through the use of these guiding principles, everyone in
Company XYZ is accountable for fully satisfying our customers by meetingCompany XYZ is accountable for fully satisfying our customers by meeting
or exceeding their needs and expectations with best-in-class solutions andor exceeding their needs and expectations with best-in-class solutions and
services. Our goal is 100% customer satisfaction 100% of the time.services. Our goal is 100% customer satisfaction 100% of the time.
Change ofChange of
The Name of QualityThe Name of Quality
ActivitiesActivities
 QCQC :: Quality ControlQuality Control
At the beginning of 1910-20sAt the beginning of 1910-20s
 SQCSQC :: Statistical Quality ControlStatistical Quality Control
At the beginning of 1950sAt the beginning of 1950s
 TQCTQC :: Total Quality ControlTotal Quality Control
At the beginning of 1960sAt the beginning of 1960s
 TQMTQM :: Total Quality ManagementTotal Quality Management
In the middle ofIn the middle of
1960s in Japan1960s in Japan
1980s in NA1980s in NA
1990s in others1990s in others
Quality Evolution in JapanQuality Evolution in Japan
Fitness to
Use
Fitness to
Cost
Fitness to Latent
Requirements
Fitness to
Standards
Determining the customer’s
needs before the customer
becomes aware of them
Obtain high quality & low cost
by effective designing of both
the product & processes.
To build a product
that meets the needs of
customer.
To build a product that meets
the specifications set by the
designer.
THE QUALITYTHE QUALITY
CHALLENGECHALLENGE
INDIVIDUAL
CRAFTSMAN
FOREMAN
INSPECTION
STATISTICAL CONTROL
QUALITY ASSURANCE
TOTAL QUALITY
CONTROL
ORGANIZATION
WIDE
TOTAL QUALITY
MANAGEMENT
1900 1920 1940 1960 1980
THEEVOLUTIONOFQUALITYMANAGEMENT
PRINCIPAL QUALITYPRINCIPAL QUALITY
DIMENSIONSDIMENSIONS
1.1. PerformancePerformance
2.2. FeaturesFeatures
3.3. ReliabilityReliability
4.4. ConformanceConformance
5.5. DurabilityDurability
6.6. ServiceabilityServiceability
7.7. AestheticsAesthetics
8.8. Perceived qualityPerceived quality
PRINCIPAL QUALITYPRINCIPAL QUALITY
DIMENSIONSDIMENSIONS
• Performance:Performance:
• a product’s primary operatinga product’s primary operating
characteristics. Example: A car’scharacteristics. Example: A car’s
acceleration, braking distance,acceleration, braking distance,
steering and handlingsteering and handling
PRINCIPAL QUALITYPRINCIPAL QUALITY
DIMENSIONSDIMENSIONS
• FeaturesFeatures::
• the “bells and whistles” of a product. Athe “bells and whistles” of a product. A
car may have power options, a tape orcar may have power options, a tape or
CD deck, antilock brakes, andCD deck, antilock brakes, and
reclining seatsreclining seats
PRINCIPAL QUALITYPRINCIPAL QUALITY
DIMENSIONSDIMENSIONS
• Reliability:Reliability:
• the probability of a product’s survivingthe probability of a product’s surviving
over a specified period of time underover a specified period of time under
stated conditions of use. A car’s abilitystated conditions of use. A car’s ability
to start on cold days and frequency ofto start on cold days and frequency of
failures are reliability factorsfailures are reliability factors
PRINCIPAL QUALITYPRINCIPAL QUALITY
DIMENSIONSDIMENSIONS
• ConformanceConformance::
• the degree to which physical andthe degree to which physical and
performance characteristics of aperformance characteristics of a
product match pre-establishedproduct match pre-established
standards.standards.
• car’s fit/finish, freedom from noisescar’s fit/finish, freedom from noises
can reflect this.can reflect this.
PRINCIPAL QUALITYPRINCIPAL QUALITY
DIMENSIONSDIMENSIONS
• Durability:Durability:
• the amount of use one gets from athe amount of use one gets from a
product before it physicallyproduct before it physically
deteriorates or until replacement isdeteriorates or until replacement is
preferable.preferable.
• For car - corrosion resistance & longFor car - corrosion resistance & long
wear of upholstery fabricwear of upholstery fabric
PRINCIPAL QUALITYPRINCIPAL QUALITY
DIMENSIONSDIMENSIONS
• Serviceability:Serviceability:
• speed, courtesy, competence ofspeed, courtesy, competence of
repair work.repair work.
• auto owner -access to spare parts.auto owner -access to spare parts.
PRINCIPAL QUALITYPRINCIPAL QUALITY
DIMENSIONSDIMENSIONS
• Aesthetics:Aesthetics:
• how a product looks, feels, sounds,how a product looks, feels, sounds,
tastes, or smells.tastes, or smells.
• car’s color, instrument panel designcar’s color, instrument panel design
and “feel of road” –and “feel of road” –
• make aesthetically pleasingmake aesthetically pleasing
PRINCIPAL QUALITYPRINCIPAL QUALITY
DIMENSIONSDIMENSIONS
• Perceived Quality:Perceived Quality:
• Subjective assessment of qualitySubjective assessment of quality
resulting from image, advertising, orresulting from image, advertising, or
brand names.brand names.
• car, - shaped by magazine reviews-car, - shaped by magazine reviews-
manufacturers’ brochuresmanufacturers’ brochures
COMPETITIVE ADVANTAGECOMPETITIVE ADVANTAGE
 Denotes firm’s ability to achieve marketDenotes firm’s ability to achieve market
superioritysuperiority
 Driven by customer needs & wantsDriven by customer needs & wants
 ProvidesProvides valuevalue to customers that competitorsto customers that competitors
do notdo not
 Makes significant contribution to businessMakes significant contribution to business
successsuccess
 Allows a firm to use its resources effectivelyAllows a firm to use its resources effectively
COMPETITIVE ADVANTAGECOMPETITIVE ADVANTAGE
cont….cont….
 Durability & dependability – difficult forDurability & dependability – difficult for
others to copyothers to copy
 Provides basis for further improvementProvides basis for further improvement
 Provides direction &Provides direction & motivationmotivation to theto the
organizationorganization
CUSTOMER-DRIVENCUSTOMER-DRIVEN
QUALITY IN THE 1980sQUALITY IN THE 1980s
 Quality was defined as…Quality was defined as…
““ The totality of features andThe totality of features and
characteristics of a product orcharacteristics of a product or
service that bears on its ability toservice that bears on its ability to
satisfy given needs ”satisfy given needs ”
CUSTOMER-DRIVENCUSTOMER-DRIVEN
QUALITY IN THE 1990sQUALITY IN THE 1990s
 A simpler, more powerful definition cameA simpler, more powerful definition came
up….up….
““ Quality is meeting or exceedingQuality is meeting or exceeding
customer expectations ”customer expectations ”
WHAT GOOD CANWHAT GOOD CAN
QUALITY DO ?QUALITY DO ?
 Provides competitive advantageProvides competitive advantage
 Reduces costsReduces costs
 Lesser returns, rework & scrapLesser returns, rework & scrap
 Increases productivity & profitsIncreases productivity & profits
 Generates satisfied customersGenerates satisfied customers
 ““ No Quality, no sales. No sales,No Quality, no sales. No sales,
no profit. No profits, no jobs.”no profit. No profits, no jobs.”
QUALITY ASSURANCEQUALITY ASSURANCE
Cont….Cont….
DEMING’S PDCA CYCLE
PLAN
ACTION DO
CHECK
WHAT IS NEEDED?
WHAT HAVE YOU
LEARNED?
CARRY OUT SMALL CHANGES
AUDIT WHAT HAS OCCURED
Deming’s Dreadful DiseasesDeming’s Dreadful Diseases
1.1. Looking elsewhere forLooking elsewhere for
examples, or concludingexamples, or concluding
that “our problems arethat “our problems are
different”.different”.
2.2. Creative accountingCreative accounting
rather than commitment.rather than commitment.
3.3. Management’s failure toManagement’s failure to
delegate responsibility.delegate responsibility.
4.4. That employees (orThat employees (or
unions)cause all theunions)cause all the
problems.problems.
5.5. Quality can be assured byQuality can be assured by
inspection.inspection.
6.6. False starts: noFalse starts: no
organization-wideorganization-wide
commitment.commitment.
Conventional WisdomConventional Wisdom
Quality is meetingQuality is meeting
conformance standards.conformance standards.
Quality is an intangible good.Quality is an intangible good.
Quality is meeting & exceedingQuality is meeting & exceeding
customer expectation.customer expectation.
Quality is defined by theQuality is defined by the
customer.customer.
Finding and Fixing problemsFinding and Fixing problems
results in improvements,results in improvements,
which may or may not bewhich may or may not be
sustainable.sustainable.
Making changes to the system toMaking changes to the system to
prevent problems results inprevent problems results in
sustainable improvements.sustainable improvements.
Effectiveness & efficiency areEffectiveness & efficiency are
achieved by meetingachieved by meeting
acceptable defect levels.acceptable defect levels.
Effectiveness & efficiency areEffectiveness & efficiency are
achieved by continuallyachieved by continually
improving.improving.
Crisis management is theCrisis management is the
dominant management mode.dominant management mode.
Preventative management.Preventative management.
Performance standards &Performance standards &
quotas improve productivity.quotas improve productivity.
Changes in the process improveChanges in the process improve
productivity.productivity.
Decisions are made byDecisions are made by
“superiors.”“superiors.”
Decisions are made throughDecisions are made through
collaboration between staff &collaboration between staff &
management.management.
Deming’s Approach
Top management evaluates theTop management evaluates the
organization on financialorganization on financial
performance.performance.
Top management focuses onTop management focuses on
process performance & customerprocess performance & customer
satisfaction as well as on financialsatisfaction as well as on financial
performance.performance.
Process improvement isProcess improvement is
expensive.expensive.
Process improvement leads toProcess improvement leads to
lower costs.lower costs.
Only managers are capable ofOnly managers are capable of
identifying & makingidentifying & making
Workers know the process best &Workers know the process best &
will suggest excellent ways towill suggest excellent ways to
improve it when given a chance.improve it when given a chance.
Managers command functions &Managers command functions &
are concerned with directing &are concerned with directing &
controlling.controlling.
Team leaders guide cross-Team leaders guide cross-
functional improvement teams &functional improvement teams &
are concerned with planning &are concerned with planning &
prevention.prevention.
Employees receive instruction &Employees receive instruction &
information from above, asinformation from above, as
deemed appropriate bydeemed appropriate by
management.management.
Management shares informationManagement shares information
with employees on a routine basiswith employees on a routine basis
& on request.& on request.
Leadership for an improvementLeadership for an improvement
effort can be delegated to outsideeffort can be delegated to outside
expert.expert.
Leadership for an improvementLeadership for an improvement
effort is provided by executiveseffort is provided by executives
within the org, who arewithin the org, who are
accountable for results.accountable for results.
Reviews are necessary only whenReviews are necessary only when
things go wrong.things go wrong.
Regularly scheduled performance-Regularly scheduled performance-
improvement reviews are a key toimprovement reviews are a key to
improved processes.
A Manager Who Fails To ProvideA Manager Who Fails To Provide
Resources And Time For PreventionResources And Time For Prevention
Activities Is Practicing FalseActivities Is Practicing False
EconomyEconomy
Concentrate on Prevention, Not CorrectionConcentrate on Prevention, Not Correction
Prevention has more leverage when improving quality
Prevention
Correction
Quality
QUALITY IS FREE !QUALITY IS FREE !
According to Crosby:According to Crosby:
 Quality is not only free, it is profit makerQuality is not only free, it is profit maker
 Increase of 5% -10% in profitability byIncrease of 5% -10% in profitability by
concentrating on qualityconcentrating on quality
 Quality provides a lot of money for freeQuality provides a lot of money for free
““Quality is never anQuality is never an
accident, it is alwaysaccident, it is always
the result of anthe result of an
intelligent effort”intelligent effort”
John RuskinJohn Ruskin

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Quality Assurance and Quality Control

  • 1. QUALITY CONTROL &QUALITY CONTROL & QUALITY ASSURANCEQUALITY ASSURANCE
  • 2. What is Quality?What is Quality?  The concept of quality is subjective and difficultThe concept of quality is subjective and difficult to defineto define  Certain aspects of quality can be identifiedCertain aspects of quality can be identified  Ultimately, the judgement of quality rests withUltimately, the judgement of quality rests with the customerthe customer
  • 3. CUSTOMER-DRIVEN QUALITYCUSTOMER-DRIVEN QUALITY  A simpler, more powerful definition cameA simpler, more powerful definition came up….up…. ““ Quality is meeting or exceedingQuality is meeting or exceeding customer expectations ”customer expectations ”
  • 4. What is Quality?What is Quality? The International Organization for StandardizationThe International Organization for Standardization (ISO) defines quality as the totality of characteristics(ISO) defines quality as the totality of characteristics of an entity that bear on its ability to satisfyof an entity that bear on its ability to satisfy statedstated (confirmed) or(confirmed) or ImpliedImplied (indirect) needs.(indirect) needs. Other experts define quality based on:Other experts define quality based on: • conformance to requirements: meeting written specificationsconformance to requirements: meeting written specifications • fitness for use: ensuring a product can be used as it was intendedfitness for use: ensuring a product can be used as it was intended
  • 5. QualityQuality meansmeans pleasing consumerspleasing consumers notnot just protecting themjust protecting them from annoyancesfrom annoyances
  • 6. QualityQuality is an ever-changing stateis an ever-changing state (i.e., what is considered(i.e., what is considered quality today may not be goodquality today may not be good enough to be consideredenough to be considered quality tomorrow!)quality tomorrow!)
  • 7. QualityQuality is a dynamic state associatedis a dynamic state associated with products, services,with products, services, people, processes andpeople, processes and environments that meets orenvironments that meets or exceeds customerexceeds customer expectations.expectations.
  • 8. DEFINING QUALITYDEFINING QUALITY  Quality can be confusing concept, partlyQuality can be confusing concept, partly because people view quality in relation tobecause people view quality in relation to differing criteriadiffering criteria  The meaning of quality continues to evolveThe meaning of quality continues to evolve as the quality profession grows and maturesas the quality profession grows and matures  A study that asked managers of 86 firms inA study that asked managers of 86 firms in the eastern U.S. to define quality producedthe eastern U.S. to define quality produced several dozen different responses:several dozen different responses:
  • 9. DEFINING QUALITYDEFINING QUALITY  PerfectionPerfection  ConsistencyConsistency  Eliminating wasteEliminating waste  Speed of deliverySpeed of delivery  Compliance with policies & proceduresCompliance with policies & procedures  Providing good, usable productsProviding good, usable products  Doing it right the first timeDoing it right the first time  Delighting or pleasing customersDelighting or pleasing customers  Total customer service & satisfactionTotal customer service & satisfaction
  • 10. Elements of QualityElements of Quality  Basic elements of quality includeBasic elements of quality include 1.1. Quality characteristicsQuality characteristics 2.2. Quality of designQuality of design 3.3. Quality of conformanceQuality of conformance
  • 11. Elements of QualityElements of Quality  Quality characteristicsQuality characteristics:-:- The term quality characteristics is usedThe term quality characteristics is used for one or more properties that define thefor one or more properties that define the nature of a product for quality-controlnature of a product for quality-control purpose. Quality characteristics includepurpose. Quality characteristics include dimension, color, strength, temperature,dimension, color, strength, temperature, etc.etc. For example concrete, qualityFor example concrete, quality characteristics of commonly specify andcharacteristics of commonly specify and control concrete include compressivecontrol concrete include compressive strength after a fixed curing time.strength after a fixed curing time.
  • 12.  Quality of design:-Quality of design:- It is often specified not only theIt is often specified not only the desired standard for thedesired standard for the characteristics that define a productcharacteristics that define a product such as a dimension or strength, butsuch as a dimension or strength, but also tolerance or ranges foralso tolerance or ranges for acceptable variation from theacceptable variation from the standards.standards. For example, reinforcing bar spacingFor example, reinforcing bar spacing might be specified as 12cm or amight be specified as 12cm or a concrete specification requesting aconcrete specification requesting a compressing strength of 200 kg/cmcompressing strength of 200 kg/cm sq.sq. Elements of QualityElements of Quality
  • 13. Elements of QualityElements of Quality  Quality of Conformance:-Quality of Conformance:- The degree to which the physical workThe degree to which the physical work produced conforms to this standard.produced conforms to this standard. For example, a journeyman welderFor example, a journeyman welder producing pipe welds with a reject rate ofproducing pipe welds with a reject rate of only 3 per 100 has a much higher qualityonly 3 per 100 has a much higher quality of conformance than an apprentice with aof conformance than an apprentice with a reject rate of 17 per 100reject rate of 17 per 100 ..
  • 14. Economics of QualityEconomics of Quality Economics of quality must be consideredEconomics of quality must be considered in both design and construction. Economicin both design and construction. Economic concept applicable to each will beconcept applicable to each will be introduced here,introduced here,  Quality economics in designQuality economics in design  Economics of quality of conformanceEconomics of quality of conformance
  • 15. Economics of QualityEconomics of Quality  Quality economics in design:-Quality economics in design:- In the simplest form, figure illustrates theIn the simplest form, figure illustrates the relationship between the cost value of quality.relationship between the cost value of quality. The horizontal axis relates to the quality ofThe horizontal axis relates to the quality of design as reflected by quality characteristicsdesign as reflected by quality characteristics chosen for the item concerned. As qualitychosen for the item concerned. As quality increases, the vertical shows that both theincreases, the vertical shows that both the cost and the value of the quality increases ascost and the value of the quality increases as well, but in a different manner.well, but in a different manner.
  • 16. Quality economics inQuality economics in designdesign
  • 17. Economics of QualityEconomics of Quality  Economics of quality of conformance:-Economics of quality of conformance:- Simply stated, quality control costs money.Simply stated, quality control costs money. There are two main ingredients to this costThere are two main ingredients to this cost 1.1. the cost of skilled labor, equipment, material,the cost of skilled labor, equipment, material, methods and supervision to produce qualitymethods and supervision to produce quality outputs.outputs. 2.2. The cost of monitoring and verifying theThe cost of monitoring and verifying the quality of output and of correcting orquality of output and of correcting or replacing defective work.replacing defective work.
  • 18. Economics of Quality ofEconomics of Quality of ConformanceConformance
  • 19. Cost of Poor QualityCost of Poor Quality
  • 20.  Prevention costsPrevention costs  build it right the first timebuild it right the first time  Appraisal costsAppraisal costs  inspection and testinginspection and testing  Internal failure costsInternal failure costs  scrap and reworkscrap and rework  External failure costsExternal failure costs  warranty claims, recalls, lost businesswarranty claims, recalls, lost business Cost of Poor Quality
  • 21.  Prevention costs:Prevention costs:  These are planned costs an organization incurs to ensure thatThese are planned costs an organization incurs to ensure that errors are not made at any stage during theerrors are not made at any stage during the delivery processdelivery process ofof that product orthat product or service to a customerservice to a customer ..  TheThe delivery processdelivery process may includemay include designdesign,, developmentdevelopment,, productionproduction andand shippingshipping..  Examples: Quality planning costs, Information system costs,Examples: Quality planning costs, Information system costs, education and training costs, quality administration staff costs,education and training costs, quality administration staff costs, process control costs, market research costs, field testing costsprocess control costs, market research costs, field testing costs and preventive maintenance costs.and preventive maintenance costs.  The costs of preventing mistakes are always much lesser thanThe costs of preventing mistakes are always much lesser than the costs of inspection and correction.the costs of inspection and correction. Cost of Poor QualityCost of Poor Quality
  • 22.  Appraisal costs:Appraisal costs:  These include the costs of verifying, checking orThese include the costs of verifying, checking or evaluating a product or service during the deliveryevaluating a product or service during the delivery process.process.  Examples: internal production audit costs, test andExamples: internal production audit costs, test and inspection costs, instrument maintenance costs,inspection costs, instrument maintenance costs, supplier evaluation costs, and audit report costs.supplier evaluation costs, and audit report costs. Cost of Poor QualityCost of Poor Quality
  • 23.  Failure costs:Failure costs:  A company incurs these costs because the product orA company incurs these costs because the product or service did not meet the requirements and had to beservice did not meet the requirements and had to be fixed or replaced, or the service had to be repeated.fixed or replaced, or the service had to be repeated.  These failure costs can be further subdivided into twoThese failure costs can be further subdivided into two groups:groups:  Internal Failures:Internal Failures:  Internal failures include all costs resulting from theInternal failures include all costs resulting from the failures found before the product or service reachesfailures found before the product or service reaches the customer.the customer.  Examples: scrap and rework costs, repair costs, andExamples: scrap and rework costs, repair costs, and corrective action costs from nonconforming productcorrective action costs from nonconforming product or service.or service. Cost of Poor QualityCost of Poor Quality
  • 24.  External failures:External failures:  External failures occur when the customer finds theExternal failures occur when the customer finds the failure.failure.  Examples: warranty claim costs, customer complaintExamples: warranty claim costs, customer complaint costs, shipping costs, and customer follow-up costs.costs, shipping costs, and customer follow-up costs. Cost of Poor QualityCost of Poor Quality
  • 25.  Total Quality cost, is a combination ofTotal Quality cost, is a combination of prevention,prevention, appraisal & failureappraisal & failure. Reducing any of these reduces total.. Reducing any of these reduces total.  Key to minimum cost, is striking correct balance b/wKey to minimum cost, is striking correct balance b/w three.three.  ClearlyClearly prevention reduces both appraisal and failureprevention reduces both appraisal and failure costscosts, -eventually cost of prevention itself starts to, -eventually cost of prevention itself starts to increase total cost & so must be controlled & set at anincrease total cost & so must be controlled & set at an effective level.effective level. Cost of Poor QualityCost of Poor Quality
  • 26. Cost of QualityCost of Quality
  • 27. ExampleExample  Trying to save a few project dollars by reducing conformance costs could prove disastrous. For example, an American company won a contract as a supplier of Japanese parts. The initial contract called for the delivery of 10,000 parts. During inspection and testing at the customer’s (i.e., Japanese) facility, two rejects were discovered. The Japanese returned all 10,000 components to the American supplier stating that this batch was not acceptable. In this example, the nonconformance cost could easily be an order of magnitude greater than the conformance cost. The moral is clear: Build it right the first time.
  • 28. Total Quality CostTotal Quality Cost
  • 29. Basic Quality FunctionBasic Quality Function 1. DEFECTS / REJECTS 2. COMPLAINTS 3. CONSISTENCY 4. PRECISION 5. ACCURACY 6. VARIATION
  • 30. Precision and AccuracyPrecision and Accuracy In the fields of science, engineering, industry and statistics, the accuracy of a measurement system is the degree of closeness of measurements of a quantity to that quantity's actual (true) value. The precision of a measurement system, also called reproducibility or repeatability, is the degree to which repeated measurements under unchanged conditions show the same results. Although the two words reproducibility and repeatability can be synonymous in colloquial use, they are deliberately contrasted in the context of the scientific method.
  • 31. Hierarchy of QualityHierarchy of Quality Hierarchy of Quality follows the evolution of Quality management from Simple inspection To Total Quality Management system
  • 32. Development of QualityDevelopment of Quality  Four Level modelFour Level model 1. Inspection1. Inspection  After-event-screening -After-event-screening - DetectionDetection basedbased 2. Quality Control2. Quality Control  Introduction of basic systems - stillIntroduction of basic systems - still DetectionDetection BasedBased 3. Quality Assurance3. Quality Assurance  Development of complex systems -Development of complex systems - PreventionPrevention basedbased 4. Total Quality Management4. Total Quality Management  Development of culture -Development of culture - PeoplePeople basedbased
  • 33. InspectionInspection  (ISO8402)(ISO8402)  ““Activity such as measuring, examining, testing,Activity such as measuring, examining, testing, or gauging one or more characteristics of anor gauging one or more characteristics of an entity and comparing the results with specifiedentity and comparing the results with specified requirements in order to establish whetherrequirements in order to establish whether conformity is achieved for each characteristic”conformity is achieved for each characteristic”
  • 34. InspectionInspection  Lowest level of quality developmentLowest level of quality development  Key product characteristics examinedKey product characteristics examined  Compared to known standardCompared to known standard  After the eventAfter the event  Inspection will not provide any basis for processInspection will not provide any basis for process improvementimprovement
  • 35. Quality ControlQuality Control  Defined as (ISO8402)Defined as (ISO8402)  ““Operational techniques and activities that are usedOperational techniques and activities that are used to fulfill requirements for quality”to fulfill requirements for quality”  Developed from inspection of methods, systemsDeveloped from inspection of methods, systems and tools & techniquesand tools & techniques  More emphasis on feedbackMore emphasis on feedback  Main mechanism still inspection basedMain mechanism still inspection based  Physical characteristics of productPhysical characteristics of product
  • 36. Quality ControlQuality Control  The second level of quality developmentThe second level of quality development  It will not improve quality, just highlight when it is notIt will not improve quality, just highlight when it is not presentpresent  In many cases QC does not identify the root cause ofIn many cases QC does not identify the root cause of the non-conformancethe non-conformance
  • 37. Quality ControlQuality Control  The second level of quality developmentThe second level of quality development  Development of inspection proceduresDevelopment of inspection procedures  Calibration, limited quality auditsCalibration, limited quality audits  Use of basic QC toolsUse of basic QC tools  Defect recording and analysisDefect recording and analysis  Quality costs still unknownQuality costs still unknown  Use of operator self inspectionUse of operator self inspection  Still largely based on goods inspectionStill largely based on goods inspection  Reliance on inspection to catch non-conforming workReliance on inspection to catch non-conforming work  It will not improve quality, just highlight when it is notIt will not improve quality, just highlight when it is not presentpresent  In many cases QC does not identify the root cause ofIn many cases QC does not identify the root cause of the non-conformancethe non-conformance
  • 38. Quality AssuranceQuality Assurance ““Quality assurance includes “allQuality assurance includes “all planned & systematic activitiesplanned & systematic activities implemented within the qualityimplemented within the quality system, & demonstrated assystem, & demonstrated as needed, to provide adequateneeded, to provide adequate confidence that an entity willconfidence that an entity will fulfill requirements for quality”.fulfill requirements for quality”.
  • 39. Quality AssuranceQuality Assurance ““Quality Assurance covers all activitiesQuality Assurance covers all activities from design, development, production,from design, development, production, installation, servicing andinstallation, servicing and documentation, this introduced thedocumentation, this introduced the rule “Fit for purpose” and “do it rightrule “Fit for purpose” and “do it right first time”. It includes the regulation offirst time”. It includes the regulation of the quality of raw materials,the quality of raw materials, assemblies, products and components;assemblies, products and components; services related to production; andservices related to production; and management, production, andmanagement, production, and inspection processes.“inspection processes.“
  • 40. Quality AssuranceQuality Assurance  Defined as (ISO8402)Defined as (ISO8402)  ““All the planned and systematic activitiesAll the planned and systematic activities implemented within the quality system,implemented within the quality system, and demonstrated as needed to provideand demonstrated as needed to provide adequate confidence that an entity willadequate confidence that an entity will fulfil requirements for qualityfulfil requirements for quality ””  Issues of progression from QC to QAIssues of progression from QC to QA  Change in emphasis from product to processChange in emphasis from product to process
  • 41. Diff b/w QA and QCDiff b/w QA and QC Quality AssuranceQuality Assurance Quality ControlQuality Control Meant for developing,Meant for developing, organizing the best qualityorganizing the best quality process.process. Meant for implementing theMeant for implementing the process developed by formerprocess developed by former team.team. Is the process related.Is the process related. Is the actual testing of theIs the actual testing of the system.system. Focuses on building inFocuses on building in quality....and hencequality....and hence preventing defects.preventing defects. Focuses on testing forFocuses on testing for quality...and hence detectingquality...and hence detecting defects.defects. Deals with processDeals with process Deals with productDeals with product
  • 42. Diff b/w QA and QCDiff b/w QA and QC QualityQuality AssuranceAssurance Quality ControlQuality Control Makes sure you areMakes sure you are doing the right things,doing the right things, the right way.the right way. Makes sure the resultsMakes sure the results of what you've done areof what you've done are what you expected.what you expected. Is preventive process.Is preventive process. Is corrective process.Is corrective process. Activities ensure thatActivities ensure that the process is definedthe process is defined and appropriate.and appropriate. Activities focus onActivities focus on finding defects infinding defects in specific deliverables -specific deliverables - e.g., are the definede.g., are the defined requirements the rightrequirements the right
  • 43. What is Total QualityWhat is Total Quality Total Quality means quality of work, quality of service, quality of information, quality of process, quality of organization, quality of people, quality of company and quality of objectives.
  • 44. Total Quality ManagementTotal Quality Management TQM a philosophy set of guidingTQM a philosophy set of guiding principals that represent the foundation ofprincipals that represent the foundation of a continuously improving organization.a continuously improving organization. TQM is the application of quantitativeTQM is the application of quantitative methods and human resources tomethods and human resources to improve the material and servicesimprove the material and services supplied to an organization, and all thesupplied to an organization, and all the processes within an organization, andprocesses within an organization, and degree to which needs of the customerdegree to which needs of the customer are met, now and in the future.are met, now and in the future.
  • 45. Total Quality ManagementTotal Quality Management  Represents the most advanced stage of qualityRepresents the most advanced stage of quality developmentdevelopment  A Management philosophyA Management philosophy  Application of QM to all aspects of businessApplication of QM to all aspects of business  Focused on the requirements of the customerFocused on the requirements of the customer  Recognizes the importance of suppliersRecognizes the importance of suppliers  Company wide approachCompany wide approach  Continual improvementContinual improvement  Integration of all quality systems & proceduresIntegration of all quality systems & procedures  Development of organizational cultureDevelopment of organizational culture
  • 46. DEFINITION OF TOTAL QUALITYDEFINITION OF TOTAL QUALITY Total Quality describes the state of anTotal Quality describes the state of an organization in which all the activities of allorganization in which all the activities of all functions are designed and carried out infunctions are designed and carried out in such a way thatsuch a way that  all external customer requirements are metall external customer requirements are met  while reducing internal time and cost,while reducing internal time and cost,  and enhancing the workplace climate.and enhancing the workplace climate.
  • 47. The Profile of TQMThe Profile of TQM TQM is a:TQM is a: • ScientificScientific • SystematicSystematic • Company – WideCompany – Wide Activity in whichActivity in which A company is devoted to customers throughA company is devoted to customers through its products and services.its products and services.
  • 48. A TQM Approach To ManagementA TQM Approach To Management A unique blending of :A unique blending of :  (a) Objective, practical, & quantitative aspects(a) Objective, practical, & quantitative aspects of management, e.g. Focus on processes &of management, e.g. Focus on processes & reliance on quantitative data & statisticalreliance on quantitative data & statistical analysis for decision-making:analysis for decision-making:  (b) “soft” aspects of mgt, e.g. providing(b) “soft” aspects of mgt, e.g. providing visionary leadership, promoting a spirit ofvisionary leadership, promoting a spirit of cooperation teamwork, and practicingcooperation teamwork, and practicing participative management.participative management.  Many organizations when deciding to undertakeMany organizations when deciding to undertake a TQM effort focus on one or other of thesea TQM effort focus on one or other of these general approaches.general approaches.  A fully successful effort requires balancedA fully successful effort requires balanced attention to both.attention to both.
  • 49. Quality ManagementQuality Management  All activities of the overallAll activities of the overall management function thatmanagement function that determine the quality policy,determine the quality policy, objectives and responsibilities andobjectives and responsibilities and implement planning, quality control,implement planning, quality control, quality assurance and qualityquality assurance and quality improvement within the qualityimprovement within the quality system” (ISO 840)system” (ISO 840)
  • 50. Quality policy sample 1Quality policy sample 1  Company XYZ provides quality management, co-Company XYZ provides quality management, co- ordination, manufacture and installation servicesordination, manufacture and installation services throughout the UK and sometimes abroad. The Companythroughout the UK and sometimes abroad. The Company has developed its expertise since its establishment andhas developed its expertise since its establishment and its aim is to achieve a high standard of construction andits aim is to achieve a high standard of construction and service to its customers.service to its customers.  It is the policy of Company XYZ to provide the customerIt is the policy of Company XYZ to provide the customer with goods and services to the agreed requirement inwith goods and services to the agreed requirement in accordance with the details and price.accordance with the details and price.  The Directors, Management and Staff are responsible forThe Directors, Management and Staff are responsible for Quality Control through the Quality Management SystemQuality Control through the Quality Management System seeking improvement by constant review, with suppliersseeking improvement by constant review, with suppliers and sub-contractors being encouraged to co-operate. Theand sub-contractors being encouraged to co-operate. The Company is committed to achieving customer satisfactionCompany is committed to achieving customer satisfaction by the use of quality procedures which will be operatedby the use of quality procedures which will be operated to meet or exceed the requirements of ISO 9001.to meet or exceed the requirements of ISO 9001.
  • 51. Quality policy sample 2Quality policy sample 2  Our Quality Policy is defined and strongly driven by the followingOur Quality Policy is defined and strongly driven by the following management principles and behaviors:management principles and behaviors: • Build a mutually profitable relationship with our customers, ensuring their• Build a mutually profitable relationship with our customers, ensuring their long-term success, through the understanding of their needs and thelong-term success, through the understanding of their needs and the needs of their customers as wellneeds of their customers as well • Achieve our commitments for quality, cost, and schedule• Achieve our commitments for quality, cost, and schedule • Enhance the systematic research and use of best preventive practices at• Enhance the systematic research and use of best preventive practices at all levels and ensure reliable risk managementall levels and ensure reliable risk management • Drive continual improvement and innovation based upon efficient• Drive continual improvement and innovation based upon efficient business processes, well-defined measurements, best practices, andbusiness processes, well-defined measurements, best practices, and customer surveyscustomer surveys • Develop staff competencies, creativity, empowerment and accountability• Develop staff competencies, creativity, empowerment and accountability through appropriate development programs and show strong managementthrough appropriate development programs and show strong management involvement and commitmentinvolvement and commitment  Company XYZ strives to be the best provider of inspection services in theCompany XYZ strives to be the best provider of inspection services in the industry. Through the use of these guiding principles, everyone inindustry. Through the use of these guiding principles, everyone in Company XYZ is accountable for fully satisfying our customers by meetingCompany XYZ is accountable for fully satisfying our customers by meeting or exceeding their needs and expectations with best-in-class solutions andor exceeding their needs and expectations with best-in-class solutions and services. Our goal is 100% customer satisfaction 100% of the time.services. Our goal is 100% customer satisfaction 100% of the time.
  • 52. Change ofChange of The Name of QualityThe Name of Quality ActivitiesActivities  QCQC :: Quality ControlQuality Control At the beginning of 1910-20sAt the beginning of 1910-20s  SQCSQC :: Statistical Quality ControlStatistical Quality Control At the beginning of 1950sAt the beginning of 1950s  TQCTQC :: Total Quality ControlTotal Quality Control At the beginning of 1960sAt the beginning of 1960s  TQMTQM :: Total Quality ManagementTotal Quality Management In the middle ofIn the middle of 1960s in Japan1960s in Japan 1980s in NA1980s in NA 1990s in others1990s in others
  • 53. Quality Evolution in JapanQuality Evolution in Japan Fitness to Use Fitness to Cost Fitness to Latent Requirements Fitness to Standards Determining the customer’s needs before the customer becomes aware of them Obtain high quality & low cost by effective designing of both the product & processes. To build a product that meets the needs of customer. To build a product that meets the specifications set by the designer.
  • 54. THE QUALITYTHE QUALITY CHALLENGECHALLENGE INDIVIDUAL CRAFTSMAN FOREMAN INSPECTION STATISTICAL CONTROL QUALITY ASSURANCE TOTAL QUALITY CONTROL ORGANIZATION WIDE TOTAL QUALITY MANAGEMENT 1900 1920 1940 1960 1980 THEEVOLUTIONOFQUALITYMANAGEMENT
  • 55. PRINCIPAL QUALITYPRINCIPAL QUALITY DIMENSIONSDIMENSIONS 1.1. PerformancePerformance 2.2. FeaturesFeatures 3.3. ReliabilityReliability 4.4. ConformanceConformance 5.5. DurabilityDurability 6.6. ServiceabilityServiceability 7.7. AestheticsAesthetics 8.8. Perceived qualityPerceived quality
  • 56. PRINCIPAL QUALITYPRINCIPAL QUALITY DIMENSIONSDIMENSIONS • Performance:Performance: • a product’s primary operatinga product’s primary operating characteristics. Example: A car’scharacteristics. Example: A car’s acceleration, braking distance,acceleration, braking distance, steering and handlingsteering and handling
  • 57. PRINCIPAL QUALITYPRINCIPAL QUALITY DIMENSIONSDIMENSIONS • FeaturesFeatures:: • the “bells and whistles” of a product. Athe “bells and whistles” of a product. A car may have power options, a tape orcar may have power options, a tape or CD deck, antilock brakes, andCD deck, antilock brakes, and reclining seatsreclining seats
  • 58. PRINCIPAL QUALITYPRINCIPAL QUALITY DIMENSIONSDIMENSIONS • Reliability:Reliability: • the probability of a product’s survivingthe probability of a product’s surviving over a specified period of time underover a specified period of time under stated conditions of use. A car’s abilitystated conditions of use. A car’s ability to start on cold days and frequency ofto start on cold days and frequency of failures are reliability factorsfailures are reliability factors
  • 59. PRINCIPAL QUALITYPRINCIPAL QUALITY DIMENSIONSDIMENSIONS • ConformanceConformance:: • the degree to which physical andthe degree to which physical and performance characteristics of aperformance characteristics of a product match pre-establishedproduct match pre-established standards.standards. • car’s fit/finish, freedom from noisescar’s fit/finish, freedom from noises can reflect this.can reflect this.
  • 60. PRINCIPAL QUALITYPRINCIPAL QUALITY DIMENSIONSDIMENSIONS • Durability:Durability: • the amount of use one gets from athe amount of use one gets from a product before it physicallyproduct before it physically deteriorates or until replacement isdeteriorates or until replacement is preferable.preferable. • For car - corrosion resistance & longFor car - corrosion resistance & long wear of upholstery fabricwear of upholstery fabric
  • 61. PRINCIPAL QUALITYPRINCIPAL QUALITY DIMENSIONSDIMENSIONS • Serviceability:Serviceability: • speed, courtesy, competence ofspeed, courtesy, competence of repair work.repair work. • auto owner -access to spare parts.auto owner -access to spare parts.
  • 62. PRINCIPAL QUALITYPRINCIPAL QUALITY DIMENSIONSDIMENSIONS • Aesthetics:Aesthetics: • how a product looks, feels, sounds,how a product looks, feels, sounds, tastes, or smells.tastes, or smells. • car’s color, instrument panel designcar’s color, instrument panel design and “feel of road” –and “feel of road” – • make aesthetically pleasingmake aesthetically pleasing
  • 63. PRINCIPAL QUALITYPRINCIPAL QUALITY DIMENSIONSDIMENSIONS • Perceived Quality:Perceived Quality: • Subjective assessment of qualitySubjective assessment of quality resulting from image, advertising, orresulting from image, advertising, or brand names.brand names. • car, - shaped by magazine reviews-car, - shaped by magazine reviews- manufacturers’ brochuresmanufacturers’ brochures
  • 64. COMPETITIVE ADVANTAGECOMPETITIVE ADVANTAGE  Denotes firm’s ability to achieve marketDenotes firm’s ability to achieve market superioritysuperiority  Driven by customer needs & wantsDriven by customer needs & wants  ProvidesProvides valuevalue to customers that competitorsto customers that competitors do notdo not  Makes significant contribution to businessMakes significant contribution to business successsuccess  Allows a firm to use its resources effectivelyAllows a firm to use its resources effectively
  • 65. COMPETITIVE ADVANTAGECOMPETITIVE ADVANTAGE cont….cont….  Durability & dependability – difficult forDurability & dependability – difficult for others to copyothers to copy  Provides basis for further improvementProvides basis for further improvement  Provides direction &Provides direction & motivationmotivation to theto the organizationorganization
  • 66. CUSTOMER-DRIVENCUSTOMER-DRIVEN QUALITY IN THE 1980sQUALITY IN THE 1980s  Quality was defined as…Quality was defined as… ““ The totality of features andThe totality of features and characteristics of a product orcharacteristics of a product or service that bears on its ability toservice that bears on its ability to satisfy given needs ”satisfy given needs ”
  • 67. CUSTOMER-DRIVENCUSTOMER-DRIVEN QUALITY IN THE 1990sQUALITY IN THE 1990s  A simpler, more powerful definition cameA simpler, more powerful definition came up….up…. ““ Quality is meeting or exceedingQuality is meeting or exceeding customer expectations ”customer expectations ”
  • 68. WHAT GOOD CANWHAT GOOD CAN QUALITY DO ?QUALITY DO ?  Provides competitive advantageProvides competitive advantage  Reduces costsReduces costs  Lesser returns, rework & scrapLesser returns, rework & scrap  Increases productivity & profitsIncreases productivity & profits  Generates satisfied customersGenerates satisfied customers  ““ No Quality, no sales. No sales,No Quality, no sales. No sales, no profit. No profits, no jobs.”no profit. No profits, no jobs.”
  • 69. QUALITY ASSURANCEQUALITY ASSURANCE Cont….Cont…. DEMING’S PDCA CYCLE PLAN ACTION DO CHECK WHAT IS NEEDED? WHAT HAVE YOU LEARNED? CARRY OUT SMALL CHANGES AUDIT WHAT HAS OCCURED
  • 70. Deming’s Dreadful DiseasesDeming’s Dreadful Diseases 1.1. Looking elsewhere forLooking elsewhere for examples, or concludingexamples, or concluding that “our problems arethat “our problems are different”.different”. 2.2. Creative accountingCreative accounting rather than commitment.rather than commitment. 3.3. Management’s failure toManagement’s failure to delegate responsibility.delegate responsibility. 4.4. That employees (orThat employees (or unions)cause all theunions)cause all the problems.problems. 5.5. Quality can be assured byQuality can be assured by inspection.inspection. 6.6. False starts: noFalse starts: no organization-wideorganization-wide commitment.commitment.
  • 71. Conventional WisdomConventional Wisdom Quality is meetingQuality is meeting conformance standards.conformance standards. Quality is an intangible good.Quality is an intangible good. Quality is meeting & exceedingQuality is meeting & exceeding customer expectation.customer expectation. Quality is defined by theQuality is defined by the customer.customer. Finding and Fixing problemsFinding and Fixing problems results in improvements,results in improvements, which may or may not bewhich may or may not be sustainable.sustainable. Making changes to the system toMaking changes to the system to prevent problems results inprevent problems results in sustainable improvements.sustainable improvements. Effectiveness & efficiency areEffectiveness & efficiency are achieved by meetingachieved by meeting acceptable defect levels.acceptable defect levels. Effectiveness & efficiency areEffectiveness & efficiency are achieved by continuallyachieved by continually improving.improving. Crisis management is theCrisis management is the dominant management mode.dominant management mode. Preventative management.Preventative management. Performance standards &Performance standards & quotas improve productivity.quotas improve productivity. Changes in the process improveChanges in the process improve productivity.productivity. Decisions are made byDecisions are made by “superiors.”“superiors.” Decisions are made throughDecisions are made through collaboration between staff &collaboration between staff & management.management. Deming’s Approach
  • 72. Top management evaluates theTop management evaluates the organization on financialorganization on financial performance.performance. Top management focuses onTop management focuses on process performance & customerprocess performance & customer satisfaction as well as on financialsatisfaction as well as on financial performance.performance. Process improvement isProcess improvement is expensive.expensive. Process improvement leads toProcess improvement leads to lower costs.lower costs. Only managers are capable ofOnly managers are capable of identifying & makingidentifying & making Workers know the process best &Workers know the process best & will suggest excellent ways towill suggest excellent ways to improve it when given a chance.improve it when given a chance. Managers command functions &Managers command functions & are concerned with directing &are concerned with directing & controlling.controlling. Team leaders guide cross-Team leaders guide cross- functional improvement teams &functional improvement teams & are concerned with planning &are concerned with planning & prevention.prevention. Employees receive instruction &Employees receive instruction & information from above, asinformation from above, as deemed appropriate bydeemed appropriate by management.management. Management shares informationManagement shares information with employees on a routine basiswith employees on a routine basis & on request.& on request. Leadership for an improvementLeadership for an improvement effort can be delegated to outsideeffort can be delegated to outside expert.expert. Leadership for an improvementLeadership for an improvement effort is provided by executiveseffort is provided by executives within the org, who arewithin the org, who are accountable for results.accountable for results. Reviews are necessary only whenReviews are necessary only when things go wrong.things go wrong. Regularly scheduled performance-Regularly scheduled performance- improvement reviews are a key toimprovement reviews are a key to improved processes.
  • 73. A Manager Who Fails To ProvideA Manager Who Fails To Provide Resources And Time For PreventionResources And Time For Prevention Activities Is Practicing FalseActivities Is Practicing False EconomyEconomy Concentrate on Prevention, Not CorrectionConcentrate on Prevention, Not Correction Prevention has more leverage when improving quality Prevention Correction Quality
  • 74. QUALITY IS FREE !QUALITY IS FREE ! According to Crosby:According to Crosby:  Quality is not only free, it is profit makerQuality is not only free, it is profit maker  Increase of 5% -10% in profitability byIncrease of 5% -10% in profitability by concentrating on qualityconcentrating on quality  Quality provides a lot of money for freeQuality provides a lot of money for free
  • 75. ““Quality is never anQuality is never an accident, it is alwaysaccident, it is always the result of anthe result of an intelligent effort”intelligent effort” John RuskinJohn Ruskin