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7 Tool Common

The document discusses seven basic quality tools used in organizations: flow charts, histograms, cause and effect diagrams, check sheets, scatter diagrams, control charts, and Pareto charts. It explains what each tool is used for and provides an example. A four-step approach to benchmarking is also outlined.

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0% found this document useful (0 votes)
52 views12 pages

7 Tool Common

The document discusses seven basic quality tools used in organizations: flow charts, histograms, cause and effect diagrams, check sheets, scatter diagrams, control charts, and Pareto charts. It explains what each tool is used for and provides an example. A four-step approach to benchmarking is also outlined.

Uploaded by

sammer2khan
Copyright
© Attribution Non-Commercial (BY-NC)
We take content rights seriously. If you suspect this is your content, claim it here.
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Download as DOC, PDF, TXT or read online on Scribd
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Most of the organizations use quality tools for various purposes related to controlling and assuring quality.

Although there are a good number of quality tools specific to certain domains, fields and practices, some of the quality tools can be used across such domains. These quality tools are quite generic and can be applied to any condition. There are seven basic quality tools used in organizations. These tools can provide much information about problems in the organization assisting to derive solutions for the same. A number of these quality tools come with a price tag. A brief training, mostly a self-training, is sufficient for someone to start using the tools. Let's have a look at the seven basic quality tools in brief.

1. Flow Charts
This is one of the basic quality tool that can be used for analyzing a sequence of events. The tool maps out a sequence of events that take place sequentially or in parallel. The flow chart can be used to understand a complex process in order to find the relationships and dependencies between events. You can also get a brief idea about the critical path of the process and the events involved in the critical path. Flow charts can be used for any field and to illustrate events involving processes of any complexity. There are specific software tools developed for drawing flow charts, such as MS Visio. You will be able to freely download some of the open source flow chart tools developed by the open source community.

2. Histogram
Histogram is used for illustrating the frequency and the extent in the context of two variables. Histogram is a chart with columns. This represents the distribution by mean. If the histogram is normal, the graph takes the shape of a bell curve. If it is not normal, it may take different shapes based on the condition of the distribution. Histogram can be used to measure something against another thing. Always, it should be two variables. Consider the following example: The following histogram shows morning attendance of a class. The X-axis is the number of students and the Y-axis the time of the day.

3. Cause and Effect Diagram


Cause and effect diagrams (Ishikawa Diagram) are used for understanding organizational or business problem causes. Organizations face problems everyday and it is required to understand the causes of these problems in order to solve them effectively. Cause and effect diagrams exercise is usually a teamwork. A brainstorming session is required in order to come up with an effective cause and effect diagram. All the main components of a problem area are listed and possible causes from each area is listed. Then, most likely causes of the problems are identified to carry out further analysis.

4. Check Sheet
A check sheet can be introduced as the most basic tool for quality. A check sheet is basically used for gathering and organizing data. When this is done with the help of software packages such as Microsoft Excel, you can derive further analysis graphs and automate through macros available. Therefore, it is always a good idea to use a software check sheet for information gathering and organizing needs. One can always use a paper-based check sheet when the information gathered is only used for backup or storing purposes other than further processing.

5. Scatter Diagram
When it comes to the values of two variables, scatter diagrams are the best way to present. Scatter diagrams present the relationship between two variables and illustrate the results on a Cartesian plane. Then, further analysis, such as trend analysis can be performed on the values. In these diagrams, one variable denotes one axis and another variable denotes the other axis.

6. Control Charts
Control chart is the best tool for monitoring the performance of a process. These types of charts can be used for monitoring any processes related to function of the organization. These charts allow you to identify the following conditions related to the process that has been monitored.

Stability of the process Predictability of the process Identification of common cause of variation Special conditions where the monitoring party needs to react

7. Pareto Charts
Pareto charts are used for identifying a set of priorities. You can chart any number of issues/variables related to a specific concern and record the number of occurrences. This way you can figure out the parameters that have the highest impact on the specific concern. This helps you to work on the propriety issues in order to get the condition under control.

Conclusion
Above seven basic quality tools help you to address different concerns in an organization. Therefore, use of such tools should be a basic practice in the organization in order to enhance the efficiency. Trainings on these tools should be included in the organizational orientation program, so all the staff members get to learn these basic tools. Benchmarking If a company is to be successful, it needs to evaluate its performance in a consistent manner. In order to do so, businesses need to set standards for themselves and measure their processes and performance against recognized industry leaders or against best practices from other industries, which operate in a similar environment. This is commonly referred to as benchmarking in management parlance.

The benchmarking process is relatively uncomplicated. Some knowledge and a practical dent is all that is needed to make such a process a success. Therefore, for the benefit of corporate executives, students and the interested general populace, the key steps in the benchmarking process are highlighted below.

A Step-by-Step Approach to Benchmarking

(1) Planning:
Prior to engaging in benchmarking, it is imperative that corporate stakeholders identify the activities that need to be benchmarked. For instance, the processes that merit such consideration would generally be core activities that have the potential to give the business in question a competitive edge. Such processes would generally command a high cost, volume or value. For the optimal results of benchmarking to be reaped, the inputs and outputs need to be redefined; the activities chosen should be measurable and thereby easily comparable, and thus the benchmarking metrics needs to be arrived at. Prior to engaging in the benchmarking process, the total process flow needs to be given due consideration. For instance,

improving one core competency at the detriment to another proves to be of little use. Therefore, many choose to document such processes in detail (a process flow chart is deemed to be ideal for this purpose), so that omissions and errors are minimized; thus enabling the company to obtain a clearer idea of its strategic goals, its primary business processes, customer expectations and critical success factors. An honest appraisal of the company's strengths, weaknesses and problem areas would prove to be of immense use when finetuning such a process. The next step in the planning process would be for the company to choose an appropriate benchmark against which their performance can be measured. The benchmark can be a single entity or a collective group of companies, which operate at optimal efficiency. As stated before, if such a company operates in a similar environment or if it adopts a comparable strategic approach to reach their goals, its relevance would, indeed, be greater. Measures and practices used in such companies should be identified, so that business process alternatives can be examined. Also, it is always prudent for a company to ascertain its objectives, prior to commencement of the benchmarking process. The methodology adopted and the way in which output is documented should be given due consideration too. On such instances, a capable team should be found in order to carry out the benchmarking process, with a leader or leaders being duly appointed, so as to ensure the smooth, timely implementation of the project.

(2) Collection of Information:


Information can be broadly classified under the sub texts of primary data and secondary data. To clarify further, here, primary data refers to collection of data directly from the benchmarked company/companies itself, while secondary data refers to information garnered from the press, publications or websites. Exploratory research, market research, quantitative research, informal conversations, interviews and questionnaires, are still, some of the most popular methods of collecting information. When engaging in primary research, the company that is due to undertake the benchmarking process needs to redefine its data collection methodology. Drafting a questionnaire or a standardized interview format, carrying out primary research via the telephone, e-mail or in face-to-face interviews, making on-site observations, and documenting such data in a systematic manner is vital, if the benchmarking process is to be a success.

(3) Analysis of Data:


Once sufficient data is collected, the proper analysis of such information is of foremost importance. Data analysis, data presentation (preferably in graphical format, for easy reference), results projection, classifying the performance gaps in processes, and identifying the root cause that leads to the creation of such gaps (commonly referred to as enablers), need to be then carried out.

(4) Implementation:
This is the stage in the benchmarking process where it becomes mandatory to walk the talk. This generally means that far-

reaching changes need to be made, so that the performance gap between the ideal and the actual is narrowed and eliminated wherever possible. A formal action plan that promotes change should ideally be formulated keeping the organization's culture in mind, so that the resistance that usually accompanies change is minimized. Ensuring that the management and staff are fully committed to the process and that sufficient resources are in place to meet facilitate the necessary improvements would be critical in making the benchmarking process, a success.

(5) Monitoring:
As with most projects, in order to reap the maximum benefits of the benchmarking process, a systematic evaluation should be carried out on a regular basis. Assimilating the required information, evaluating the progress made, re-iterating the impact of the changes and making any necessary adjustments, are all part of the monitoring process.

Conclusion:
As is clearly apparent, benchmarking can add value to the organization's workflow and structure by identifying areas for improvement and rectification. It is indeed invaluable in an organization's quest for continuous improvement.

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