06 Aug 1945

Historic bombing of Hiroshima

3 Days later
Nagasaki witnessed similar fate

A week later
Emperor of Japan announced surrender of his country

02 Sep 1945
Gen Mac Arthur took the formal surrender of Japan

War Ravaged Japan

Devastated economy
Scarce natural resources
Weak Administration

Poor quality products from its industries

United States sent two of its Quality Gurus

Deming
Juran
to bring reforms in the Japanese industries

1970s

- Japanese industries captured the world market.

- U S sent its team to study the secret behind success

The secret behind success

Japanese thrust was on

-Human values
-Basic principles

Which is the quality one?

BASIC CONCEPTS
Evolution of total quality Management
Comparison between traditional approach and TQM
Deming theories
Crosby theories

Juran , Taguchi, Ishikawa theories

Quality costs
Product quality Vs Service quality
Strategic planning
TQM implementation.

TQM PRINCIPLES & BASIC TOOL

Types of customers, customer supplier chain, Customer perception of quality
Customer perception of quality
customer feed back - Customer complaints
Customer retention - Service quality
Employee involvement
Employee motivation
Maslow's hierarchy of needs - Herzberg theory - Empowerment and team work.
Check sheets, histograms - Control charts, Pareto diagram - Cause and effect
diagram Stratification - Scatter diagrams

NEW SEVEN MANAGEMENT TOOLS & ADVANCED TOOLS

Affinity diagram - Relations diagram
Tree diagram - Matrix diagram - Matrix data analysis diagram Process decision program chart - Arrow diagram.
QFD
Root cause analysis - Taguchi method
Mistake proofing (poka-yoke)
Failure mode and effects analysis (FMEAs),
failure mode and effects criticality analysis (FMECAs)
Fault tree analysis (FTAs)
Quality Management Systems

RELIABILITY
Probabilistic nature of failures
Mean failure rate
Meantime between failures,
Hazard rate - Hazard models
Weibull model
System reliability improvement

Redundancy - Series - Parallel and Mixed configurations.

MAINTAINABILITY
Choice of maintenance strategy
Mean time- to repair (MTTR) Factors contributing to Mean Down Time (MDT)
Fault diagnosis, Routine testing for unrevealed faults

Factors contributing to Mean Maintenance Time - (MMT) on condition

maintenance
Periodic condition monitoring
Continuous condition monitoring - Economics of maintenance.

Text books:
Joel E. Rose, Total Quality Management, 2nd Edition, Kogan Page Ltd., USA
1993
Srinath, L. S., Reliability Engineering, Affiliated East West Press, New Delhi
1995

Reference Books:
Balagurusamy, E., Reliability Engineering Tata McGraw Hill publishing Co.,
New Delhi, 1984
Greg Bound, et.al, Beyond Total Quality Management towards the emerging
paradigm, McGraw Hill Inc., 1994
Zeiri, Total Quality Management for Engineers, Wood Head Publishers, 1991
Subburaj Ramasamy, Total Quality Management, Tata McGraw Hill publishing
Co.,
Poornima M charantimath, Total Quality Management, Pearson.
Bjrn Andersen, Tom Fagerhaug, Root Cause Analysis, Second Edition:
Simplified Tools and Techniques, ASQ Quality Press

Most Important is Class Room Lecture

TQM - Unit I..Basic Concepts

Definition of Quality

14

DEFINITION

Quality is Fitness for use

-

Juran
15

DEFINITION

Quality is the Conformance to requirements

or specification
-

Philip Corby

16

DEFINITION

Predictable Degree of Uniformity and

dependability, at low cost suited to the market
-

Dr. Edward Deming

17

DEFINITION

The totality of features and characteristics of

a product or service, that bears on its ability to
satisfy a given and implied need
-

ISO

18

DEFINITION
ISO -

International Organisation for

Standandardisation

Founded in 1946
Headquarters in Geneva

ISO 9000 standard

Happiness is when

- What you think

- What you say
- What you do
are in harmony.

19

Quality definition
Old
view
:
Quality relates to products
manufactured exactly to specifications.
New view : Total Quality relates to products that
totally satisfy our customer needs and expectations
in every respect on a continuous basis. Quality
then is in fact to delight customers.

20

Questions?

21

Dimension of Quality
Sl.No

Dimension (Property)

Meaning & Example (TV)

Performance

Primary character (Brightness)

Features

Secondary (Remote control)

Conformance

Specifications and Standards

Reliability

Consistency (till failing)

Durability

Useful time (including Repair)

Services

Resolution of Problem

Response

H2H interface courtesy to Dealer

Aesthetics

Sensory Characteristics (finish)

Reputation

Performance n ranking in market

22

Total Quality Management

Main concerns of Manufacturers and Customers

Manufacturer
Customer

Quality
Quality

Cost
Price

Productivity
Availability
Concerns of manufacturer and customer are
generally not the same. Customer usually
has no concern for company productivity and cost.
Quality is the only common concern
23

Quality definition
Quality target is 100%, not even 99.9% because
even 99.9% might mean many dissatisfied
customers every year, defective components
entering assembly, accidents etc.
Old
view
:
Quality relates to products
manufactured exactly to specifications.
New view : Total Quality relates to products that
totally satisfy our customer needs and expectations
in every respect on a continuous basis. Quality
then is in fact to delight customers.
24

JAPANESE APPROACH
Improve Quality
Costs reduces due to fewer defects,
lesser rework, fewer delays and better use of
men, machine and materials
Improved productivity
Better quality and lower cost Capture market
Stay in business
Provide more jobs

25

EVOLUTION OF TQM

26

EVOLUTION OF QUALITY
Inspection
Quality Control

Pre-World War II

--------------------------------------------------------------------------------

Quality Assurance

Post-World War II

Quality Management

Total Quality Management

27

QUALITY CONTROL
Quality Control (QC)
-

Evaluate the actual performance

Compare with the goals

Act on the difference

QC is more of inspection of end products/services and

compare with the original plan.
Practiced during World War II.

28

QUALITY ASSURANCE
Quality Assurance (QA)
All the planned and systematic activities implemented within
the quality system and demonstrated as needed,

to
provide adequate confidence that the end product/service will fulfill
the requirements.

i.e., The end result is assured.

29

QUALITY ASSURANCE
Steps in QA
-

Quality of Design

Quality of Conformance

Quality of Performance

Quality of Service

Stage Inspection and Documentation

30

QUALITY MANAGEMENT
Management implies :
Quality does not happen on its own. It requires to
be planned and managed.
It is a management function, though it involves
everyone.
All activities of the overall management function
that determines the quality policy, objectives and
responsibilities and implementing them.
31

TOTAL QUALITY MANAGEMENT

Total implies - Complete..100%
-

All areas and functions

All activities
All employees
All time

In 1985, the Americans came up with the term TQM

to represent the Japanese Company Wide Quality
Control (CWQC).

32

ACCORDING TO ISO
TQM is the management approach of an
organization, centered on quality, based on the
participation of all its members and aiming at
long time success through customers satisfaction,
benefits to all members of the organization and
to society.

33

Traditional and TQM approach

Element

Definition
Priority
Decisions
Emphasis
Manager role
Responsibility
Problem solving

Procurement

Traditional

Product oriented
Cost
Short term
Detection
Plan, Assign, control
and enforce
Quality control
Manager
Price

TQM

Customer Oriented
Quality First
Long term
Prevention
Delegate, coach,
facilitate and mentor
Everyone
Teams
Life-cycle cost
Partnership
34

TQM & organizational Cultural Change

Traditional Approach

TQM

Lack of communication

Open communications

Control of staff

Empowerment

Inspection & fire fighting

Prevention

Internal focus on rule

External focus on customer

Stability seeking

Continuous improvement

Adversarial relations

Co-operative relations

Allocating blame

Solving problems at their roots

EVOLUTION OF QUALITY
Inspection
Quality Control

Pre-World War II

--------------------------------------------------------------------------------

Quality Assurance

Post-World War II

Quality Management

Total Quality Management

36

Evolution of TQM
The concept of quality has existed for many years, though its meaning has
changed and evolved over time.
Quality was viewed as needed to be inspected and corrected.
In the 1940s, during World War II, quality became more statistical in
nature. Statistical sampling techniques were used to evaluate quality, and
quality control charts were used to monitor the production process.
In the 1950s, with the help of so-called quality gurus, the concept took
on a broader meaning.
Quality began to be viewed as something that encompassed the entire
organization, instead of production process.
Since all functions were responsible for product quality and all shared the
costs of poor quality, quality was seen as a concept that affected the entire
organization.

37

 A new concept of quality was emerging. One result is that quality began to
have a strategic meaning.
Since the 1970s, competition based on quality has grown in importance and
has generated tremendous interest, concern, and enthusiasm.
Today, successful companies understand that quality provides a competitive
advantage. They put the customer first and define quality as meeting or
exceeding customer expectations.
Companies in every line of business are focusing on improving quality in
order to be more competitive. In many industries quality excellence has
become a standard for doing business.
Companies that do not meet this standard simply will not survive.
Nowadays the importance of quality is demonstrated by national quality
awards and quality certifications that are coveted by businesses.
You can see that the old concept is reactive, designed to correct quality
problems after they occur.
The new concept is proactive, designed to build quality into the product
and process design.
38

Questions?

39

1.
2.
3.
4.
5.

Quality
Quality control (QC)
Statistical Quality Control (SQC)
Quality Assurance (QA)
TQM

40

The Natural Expansion to Quality

Management

Dimension of Quality
Sl.No

Dimension (Property)

Meaning & Example (TV)

Performance

Primary character (Brightness)

Features

Secondary (Remote control)

Conformance

Specifications and Standards

Reliability

Consistency (till failing)

Durability

Useful time (including Repair)

Services

Resolution of Problem

Response

H2H interface courtesy to Dealer

Aesthetics

Sensory Characteristics (finish)

Reputation

Performance n ranking in market

42

Total Quality Management

Main concerns of Manufacturers and Customers

Manufacturer
Customer

Quality
Quality

Cost
Price

Productivity
Availability
Concerns of manufacturer and customer are
generally not the same. Customer usually
has no concern for company productivity and cost.
Quality is the only common concern
43

Quality definition
Old
view
:
Quality relates to products
manufactured exactly to specifications.
New view : Total Quality relates to products that
totally satisfy our customer needs and expectations
in every respect on a continuous basis. Quality
then is in fact to delight customers.

44

Total Quality Management

TQM is a philosophy which applies equally to all parts of the
organization.
TQM can be viewed as an extension of the traditional approach to
quality.
TQM places the customer at the forefront of quality decision making.
Greater emphasis on the roles and responsibilities of every member
of staff within an organization to influence quality.
All staff are empowered.

CONCEPTS OF TQM
Be customerfocused
means everything you do
will be done by placing
the customer in the
centre. The company
should regularly check
customers attitudes.
This will include the
external and internal
customer concept.

Elements of TQM
Leadership
Top management vision, planning and support.

Employee involvement
All employees assume responsibility for the quality of their work.

Product/Process Excellence
Involves the process for continuous improvement.

Elements of TQM
Continuous Improvement
A concept that recognizes that quality improvement is a journey with no
end and that there is a need for continually looking for new approaches
for improving quality.

Customer Focus on Fitness for Use

Design quality
Specific characteristics of a product that determine its value in the
marketplace.

Conformance quality
The degree to which a product meets its design specifications.

People and Their Contribution

50

Deming

Quality Gurus
W.E.DEMING - asserted that quality starts with top management

and is a strategic activity. Demings philosophy is that quality and

productivity increase as process variability decreases (a decrease in
the unpredictable).

Deming

theories

In his 14 Points for quality improvement he emphasized the need for

statistical

control

methods,

education,

openness,

purposeful

improvement and participation.

Top management is responsible for most quality problems.
Management should give employees the appropriate working
environment and climate for work - free of faultfinding, blame or fear.
Deming also strongly promotes employee participation.
14 points for managers.

DEMINGS 14 POINTS

54

THE DEMINGS PHILOSOPHY

1. Create and publish the Aims and Purposes of the Organization.
2. Learn the New Philosophy Top management and every one must learn the
new philosophy.
3. Understand the Purpose of Inspection.
4. Stop Awarding Business based on Price Alone.
5. Improve Constantly and forever.
6. Institute Training.
7. Teach and Institute Leadership.

THE DEMINGS PHILOSOPHY

8. Drive out fear, Create Trust, and Creat a Climate for Innovation.
9. Optimize the Efforts of Teams.
10. Eliminate Exhortations for the Work Forces.
11. (a) Eliminate Numerical Quotas for the Work Force
11. (b) Eliminate Management by Objective
12. Remove Barriers that Rob People of Pride of Workmanship
13. Encourage Education and Self-improvement for Everyone
14. Take Action to Accomplish the Transformation.

POINT 1: CREATE CONSTANCY OF

PUPRPOSE TO IMPROVE PRODUSTS
AND SERVICES
An organization must define its values, mission, and
vision of the future to provide long-term direction
for its management and employees.
Resources to be allocated for research, training and
continuing education

Do you have clear goals for the organization

communicated to all employees?

POINT 2: LEARN AND ADOPT THE NEW

PHILOSOPHY
Companies must take a customer-driven approach based
on mutual cooperation between labor and management
and a never-ending cycle of improvement.
Elimination of wastes, delays and adopt CWQC (TQM)
JIT with zero defects
How can everyone be empowered, feel a sense of
ownership and share in the companys success?

Point 3: Cease Dependance on

Mass Inspection
Concentrate on improving the
process
If the process is corrected, the
defects will cease
Replace mass inspection with
statistical techniques
Inspection should be used to
improve process and reduce
cost

With everyone
participating our goals
are to deliver perfect
quality to our
customers

Point 4: Stop Awarding Business On Price

Alone
Avoid pure low bid
method
Establish
long-term
relationships
with
fewer
suppliers,
leading to loyalty and
opportunities
for
mutual improvement.
Avoid poor quality of
incoming
materials,
tools and machineries

Point 5: Improve Constantly and

Forever, the system of production and
services

Kaizen..the continuous improvement

Deming chain reaction: PDSA cycle

Continuous improvement of incoming

materials, design, maintenance, etc.

At all levels, everyone should be involved in

continuous improvement activities every single
day.

Point 6: Institute Training

Training
- Results in improvements in quality and
productivity
- Modern methods of OJT to orient to
companys policy
- Adds to worker morale
- Demonstrates to workers that the company is
dedicated to helping them and investing in the
future

Point 7: Institute Leadership

The job of management
is
leadership,
not
supervision.
Supervision simply
overseeing and directing
work
Leadership providing
guidance
to
help
employees do their hobs
with less effort.

The leaders select the music, set the tone and

ensure that everyone is on board at every
moment.

Point 7: Institute Leadership

Leader

Manager

Proactive

Reactive

Coaches

Finds fault

Understands Process

Doesnt care to understand

Moves around

Confines to office

Improves process

Maintains process

Communicates frequently

Communicates rarely

Seeks suggestions

Questions

Senior employees should be trained on leadership qualities

Point 8: Drive Out Fear

Fear is manifested in
many ways: fear of
reprisal, fear of failure,
fear of the unknown, fear
of relinquishing control,
and fear of change.
Fear encourages shortterm thinking
Create trust and climate
for innovation

Take rounds with a view to catch people doing.......

things right

Point 9: Optimize the Efforts of Teams

Teamwork helps to break
down barriers between
departments and
individuals.
Barriers between
functional areas occur
when managers fear they
might lose power.
Lack of cooperation
leads to poor quality.

Find ways to open communications between

suppliers, customers and all employees.

Point 10:
Exhortations

Eliminate

Slogans

Motivational
approaches overlook
the major source of
problems

the
system
Causes of variation
stemming from the
design of the system
are
managements
problem, not the
workers
Value is placed on doing and demonstrating.

and

Point 11: Eliminate Numerical Quotas and

Management by Objective (MBO)
Many organizations
manage
by
the
numbers.
Management
must
understand
the
system
and
continually try to
improve it, rather
than focus on MBO.

Point 12: Remove

Workmanship

Barriers

to

Pride

One of the biggest

barriers to pride in
workmanship
is
destructive criticism
Management must give
employees
job
description,
provide
proper
tool
and
material, stress their
roll
in
process
improvement.

Why come to work if it is not joyous?

in

Point 13: Encourage Education and SelfImprovement

Continuing, broad education for selfimprovement
Organizations must invest in their people at all
levels to ensure success in the long term
Developing the worth of the individual is a
powerful motivation method

Point 14: Take Action to Accomplish

the Transformation
Any culture change
begins
with
top
management
and
includes everyone
Create a structure in
the organisation
Team-based approach

Crosby

 P.B. CROSBY - Suggested that many organisations do not know

how much they spend on quality, either in putting it right or getting it

wrong.
His Definition Quality is conformance to requirements

CROSBYS QUALITY MANAGEMENT APPROACH

He emphasized on zero defects, or getting it right first

time.
This requires an emphasis on preventing rather than
after the inspection.

Crosbys four absolutes are:

1. Definition of qualityconformance to
requirements.
2. Quality systemprevention.
3. Quality standardzero defects.
4. Measurement of qualityprice of nonconformance.

Crosby provides 14 steps to quality improvement as listed

below:1. Management commitment - to make clear that management stands on quality.
2. Quality improvement team - to set up a high-level, cross-functional team to run
the quality improvement program.
3. Quality measurement - to provide a display/report of current and potential nonconformance problems in an objective manner.
4. The cost of quality - to define the ingredients of the cost of quality and explain
its use as a management tool.
5. Quality awareness - to provide a method of raising the personal concern for
quality felt by all employees.
6. Corrective action - to provide a systematic method for resolving problems
identified

7. Zero defects (ZD) action (planning) - preparatory activities for ZD

program launching.
8. Employee education - define the type and extent of supervisor training.
9. ZD day - popularize ZD philosophy and raise quality consciousness.
10. Goal setting - goals and commitments are set by employees for

themselves and their groups.

11. Error-cause removal - develop a method for employees to communicate
with the management regarding error-cause removal.
12. Recognition of good work in the quality process - to appreciate

employees with superior performance.

13. Quality councils - brings together the professional quality staff for a
planned communication on a regular basis.
14. Do it over again - emphasize that quality improvement never ends and

is a constant effort.

Juran

 J.M.JURAN - tried to get organizations to move away from the traditional

manufacturing-based view of quality

as conformance to specification

user based approach

He created the phrase Fitness for Use.

JURANS QUALITY MANAGEMENT APPROACH

Juran advocated 10 steps for quality improvements as follows:

Build awareness of the need and opportunity for
improvement.
Set goals for improvement.
Organize to reach the goals (establish a quality council,
identify problems, select projects, appoint teams, designate
facilitators).
Provide training.
Carry out projects to solve problems.
Report progress.

Give recognition.
Communicate results.
Keep score
Maintain momentum by making annual
improvement part of the regular systems and
processes of the company.

JURAN TRILOGY
Juran
trilogy

Quality planning
Quality control

Quality Improvement
Chronic (constant) problems - - - req.the
principle of Breakthrough

Sporadic (irregular) problems - - - req. the

principle of Control

Planning activities include

Establish the quality goal.
Identify customers.
Discover customer needs.
Develop product features.
Develop process features.
Establish process controls and transfer to operations.

Control activities include

Choosing the control subject: i.e., choosing what we intend to
regulate.
Choosing a unit of measure.
Setting a goal for the control subject.
Creating a sensor which can measure the control subject in
terms of the unit of measure.
Measuring actual performance.
Interpreting the difference between actual performance and
the goal.
Taking action (if any) on the difference.

Quality improvement (Breakthrough activities) include

Organizing for breakthrough in knowledge - defining the organizational

mechanism for obtaining the knowledge for achieving a breakthrough.
Creation of a steering arm - defining and staffing a mechanism for
directing the investigation for quality improvement.
Creation of a diagnostic arm - defining and staffing a mechanism for
executing the technical investigation.
Diagnosis - collecting and analyzing the facts required and recommending
the action needed.
Breakthrough in cultural pattern - determining the effect of a proposed
change on the people involved and finding ways to overcome resistance to
change.
Breakthrough in performance - obtaining agreement to take action.
Transition to the new level - implement the change.

Ishikawa

Quality Gurus
K. ISHIKAWA - created
- Quality circles and
- Cause-and-effect diagrams.

Ishikawa claimed that there had been a period of overemphasis on statistical quality control that caused people to
dislike it.
Ishikawa saw the worker participation as the key to the

successful implementation of TQM. Quality circles were an

important vehicle to achieve this.

Ishikawas definition of Quality

Development, design, production and service of a

product that is most economical, most useful, and always
satisfactory to the Consumer

Ishikawas quality management approach

six fundamental principles

Quality first - not short-term profits first
Customer orientation - not producer orientation;
The next step is your customer - breaking down the barrier of
sectionalism;
Using facts and data to make presentations - utilization of statistical
methods
Respect for humanity as a management philosophy, full participatory
management
Cross - functional management.

Taguchi

 TAGUCHIs definition of quality uses the concept of the loss

that is imparted by the product or service to society from the
time it is created.

He created Quality Loss Function (QLF) that included factors

such as costs of warranty, customer complaints, and loss of
customer goodwill.

TAGUCHIS QUALITY MANAGEMENT APPROACH

TAGUCHI - was concerned with engineering in quality

through the optimisation of product design combined with
statistical methods of quality control.
He encouraged interactive team meetings between workers
and managers to criticise and develop product design.

Total Quality Management

TQM is a philosophy which applies equally to all parts of the
organization.
TQM can be viewed as an extension of the traditional approach to
quality.
TQM places the customer at the forefront of quality decision making.
Greater emphasis on the roles and responsibilities of every member
of staff within an organization to influence quality.
All staff are empowered.

Total Quality Management

Doing things right..

.FIRST time.
Internetix (2005)

TQM & organizational Cultural Change

Traditional Approach

TQM

Lack of communication

Open communications

Control of staff

Empowerment

Inspection & fire fighting

Prevention

Internal focus on rule

External focus on customer

Stability seeking

Continuous improvement

Adversarial relations

Co-operative relations

Allocating blame

Solving problems at their roots

Gap

Expectations >
perceptions
Expectations =
perceptions

Perceived quality
is poor
Source: Slack et al. 2004

Gap
Customers
perceptions of the
product or service

Customers
expectations
for the product
or service

Customers
perceptions of
the product or
service

Customers
expectations of
the product or
service

Customers
perceptions of
the product or
service

Customers
expectations for
the product or
service

Perceived quality is governed by the gap between customers

expectations and their perceptions of the product or service

Expectations <
perceptions

Perceived quality is
good

Continuous Improvement
Philosophy that seeks to make never-ending improvements
to the process of converting inputs into outputs.
Kaizen: Japanese
word for continuous
improvement.

Obstacles to Implementing TQM

Lack of a company-wide definition of quality.

Lack of a formalized strategic plan for change.
Lack of a customer focus.
Poor inter-organizational communication.
Lack of real employee empowerment.
Lack of employee trust in senior management.
View of the quality program as a quick fix.
Drive for short-term financial results.
Politics and turf issues.

Performance

PDCA Cycle repeated to create continuous improvement

Plan
Act

Do
Check

Continuous
improvement

Time

Recognizing and rewarding Quality

Promotion of high quality goods and services
Malcolm Baldrige National Quality Award (MBNQA)
(United States)
Deming Prize (Japan)

European Quality Award (European Union)

ISO9000 certification

QUALITY COSTS

101

PREVENTION COST
Cost incurred by an organisation to ensure
that no defects occur in any of the stages.
-

Design
Development
Production
Delivery of product or services

Incurred to reduce the inspection and failure costs

i.e., TQM implementation is a prevention cost

(Stopping errors occurring in the first place)

PREVENTION COST
This includes.
-

Education and training of employees

Process improvement efforts
Process control
Market research
Product qualification
Field testing
Preventive maintenance
Calibration of instruments
Audits
QA staff

APPRAISAL COST
Cost incurred in verifying, checking or evaluating
a product/service at various stages during
manufacturing or delivering..

Incoming inspection
Supplier evaluation and audit
Inspection during process
Final inspection

Incurred due to lack of confidence in the quality of

product/service.

(Checking to see if errors have occurred after the event)

INTERNAL FAILURE COST

Design failure cost
Rejected material, supplied by vendor
Rejected pieces of sub-assemblies
Rejected products at final inspection

Scrap on account of poor workmanship

Rework cost

(Coping with errors while they were still

EXTERNAL FAILURE COST

Complaint Investigations of Customer
Returned Goods
Retrofit and Recall Costs
Warranty Claims
Liability Costs
Penalties
Customer Goodwill
Lost Sales
(Cost due to product failure after selling)

The Original or Classical

COQ model
Cost per good unit of product

Total quality costs

Failure costs

Costs of appraisal plus

prevention

Quality of conformance %

100

107

Questions?

COST OF QUALITY
or
QUALITY COSTS

109

Definition
COQ offers managers a financial method to
evaluate the level of their quality and the costs
associated with different levels of quality.
The cost is a well-organized and often disputed
tool used to understand the economic
consequences of quality.
Purchasing manager and clever customers are
asking: what are the costs related to quality?
The definition of COQ varies but, in general, is
considered to be the costs relating to be the quality
characteristics of a product or service.
110

Difficulties in Capturing the True Costs

Placing a cost figure on quality is difficult and that
accounting is unable to capture the true costs of
quality. Some concerns:
Quality costs do not readily appear in the accounting
journals.
Large timing delays between quality costs and benefits
create distortions.
Numerous cost estimates are needed.
There are hidden costs never captured (tangible and
intangible).
Matching future costs with historical costs is necessary.
111

The Traditional Cost-of-Quality Model

1.
a.
b.
2.
a.
b.

The model states that cost can be divided

into two broad categories:
Conformance Costs
Prevention costs
Appraisal costs
Non-Conformance Costs
Internal failure costs
External failure costs
112

Conformance Costs
A. Prevention costs:
Costs associated with all activities designed to
prevent defects in product or service. These
include :
The direct and indirect costs related to quality
training and education, pilot studies, quality
circles, quality engineering, etc.
These costs are used to build awareness of the
quality program and to keep the costs of
appraisal and failure to a minimum.
Prevention costs are all costs incurred in an
effort to make it right the first time.
113

Types of Prevention Costs

1.

2.

3.

Quality planning and engineering: creation of the

overall quality plan, the inspection plan, the reliability
plan, the data system, all activities of the quality
assurance function, the preparation of manuals and
procedures used to communicate the quality plan, costs
auditing the system.
New products review: evaluation of new designs,
preparation of tests & experimental programs to evaluate
the performance of new products.
Product & process design: costs incurred during the
design of the product or the selection of the production
processes that are intended to improve the overall quality
of the product.
114

Types of Prevention Costs cont.

4.

5.

6.

Process control: the cost of process control

techniques, such as control charts, that monitor the
manufacturing process in an effort to reduce
variation and build quality into the product.
Training: the cost of developing, preparing,
implementing, operating, and maintaining formal
training programs for quality.
Quality data acquisition and analysis: the cost of
running the quality data system to acquire data on
product and process performance. Includes cost of
analyzing these data to identify quality problems.

115

Conformance Costs
B. Appraisal costs
The costs associated with measuring and
evaluating the product or service quality to
ensure conformance.
These include the cost of inspection, test or audit
of purchases, manufacturing or process
operations and finished goods or services.
The direct and indirect costs of the various tests
& inspections to determine the degree of
conformity are included in this category.
116

Types of Appraisal Costs

1.

2.

Inspection & test of incoming material:

Costs associated with the inspection and testing of all
vendor-supplied material.
Receiving inspection & test
The same at the vendors facility
Periodic audit of the vendors quality assurance
system.
Product inspection & test:
The cost of checking the conformance of the product
throughout its various stages of manufacturing.
Final acceptance testing
Packing and shipping checks
Salaries of inspectors and supervisors.
117

Types of Appraisal Costs cont.

3. Materials & Services consumed:
The cost of operating a system that keeps the
measuring instruments and equipment in
calibration.
4. Maintaining accuracy of test equipment:
the cost of operating a system that keeps the
measuring instruments and equipment in
calibration.

118

Non-Conformance Costs
These are associated with products or services that do
not conform the customer's requirement. They are often
referred to as failure costs and consist of two types.

A. Internal failure costs:

costs incurred prior to the shipment of the product

or the delivery of the service.
These costs are associated with defects that are
found prior to customer delivery.
These include the net cost of scrap, re-inspection
and retest, downtime due to quality problems,
opportunity cost of product classified as seconds, or
other product downgrades.
These costs would disappear if there were no defects
in the product.
119

Types of Internal Failure Costs

1.

2.

3.

Scrap costs: the net loss of labor, material and

overhead (fixed costs) resulting from defective
product that can not economically be repaired or
used.
Rework: the cost of correcting nonconforming units
so that they meet specifications. Rework costs
usually include additional operations or steps in the
manufacturing process, thus includes extra direct
labor, machine time and supplies costs.
Retest Cost: the cost of reinspection and retesting
of products that have undergone rework or other
modification.

120

Types of Internal Failure Costs cont.

4. Downtime costs: the cost of idle production
facilities that result from nonconformance to
requirements.
5. Downgrading cost: the price differential
between the normal selling price and any selling
price that might be obtained for a product that
does not meet the customers requirements.
Downgrading is common in the textile, apparel
goods, electronics, and carpet industries.

121

B. External Failure Costs

The costs of discovered defects occurring after
product shipment or service delivery.
These costs include warranty charges, customer
complaint adjustments, returned merchandise,
product recalls, allowances, and product liability.
They also include the direct and indirect costs
such as labor and travel associated with the
investigation of customer complaints, warranty
field inspection, tests and repairs.
These costs would disappear if every unit of
product conformed to requirements and
specifications.
122

Types of External Failure Costs

1.
2.

3.
4.
5.

Complaint adjustment: all cost of investigation and

adjustment of justified complaints attribute to the
nonconforming product.
Returned product & material: all costs associated with
receipt, handling, and replacement of the nonconforming
product or material returned from the field. Also recalls
of defective product.
Warranty charges: all costs involved in service to
customers under warranty contracts. Includes repair and
replacement of product or parts.
Liability costs: costs or awards incurred as a result of
product liability litigation.
Indirect costs: in addition to direct operating costs of
external failures, there are some indirect costs.
Customer dissatisfaction with the level of quality
Loss of good-will; loss of business reputation; loss of future
business; loss of market share.
123

Cost of Quality =
Cost of Prevention+Cost of Appraisal
+Cost of Failure

124

Reducing the Cost of Quality

The aim of management is to minimize the cost of
quality.
It makes no difference if this is done by reducing
all three components or by increasing some and
decreasing others enough to lower the total cost.
To have a significant impact on the total cost; the
cost of failure must be reduced, and the usual
strategy for achieving this objective is to spend
more on prevention.
It is always cheaper to do a job right the first time
than to do it over.
125

The Traditional Cost of Quality Model

The study of the relationship of the COQ
categories led to the development of a
significant body of economic literature
offering various models to explain the
interrelationship of the COQ categories.

126

The Original or Classical

COQ model
Cost per good unit of product

Total quality costs

Failure costs

Costs of appraisal plus

prevention

Quality of conformance %

100

127

Definition of COQ model figure

In this case, the costs of prevention and appraisal are zero with a
100% failure rate.
The costs of prevention & appraisal rise to infinity as perfection
(no failures) is reached.
This hypothetical model shows that total quality cost is higher
when quality is low and falls as quality improves.
According to the model, a company greatly reduce failure costs
by adding relatively low-cost prevention and appraisal
measures.
As prevention and appraisal expenditures continue to rise, the
rate of improvement begins to diminish until additional
expenditures produce little decrease in failure.
The model suggests that a relationship exists between
conformance and nonconformance quality costs, with a minimal
total quality cost at the optimal balance.
Implicit in this model is the trade off of conformance costs for
nonconformance costs to achieve the lowest total quality cost.
128

Behavior of Cost Components During TQM

Implementation

The general behavior of the four quality cost

components for a company starting TQM is as
follows:
Prevention costs remain relatively consistent as the
awareness of TQM is built and maintained.
Appraisal costs will initially increase as inspection
programs are initiated but should eventually level off.
Internal failure costs will initially increase as the
inspection programs are implemented, but should the
gradually decrease with learning.
External failure costs should continue to fall as
various TQM programs are brought on line.
129

Quadratic Loss Function

Taguchi Quadratic Function

L(x) = k (x- N)2
L(x) = Loss function
k = Constant of proportionality = C/d2
x = Quality characteristic of selected products
N= Nominal value of chosen product and
(x- N) = Tolerance
C = loss associated with specification limit
d = deviation of specification from the target value
131

Q) A certain part dimension on a power garden tool is specified as

32.25 with +/- 0.25 mm. company repair record indicated that if the
+/-0.25 mm is exceeded then 75 % of product is returned. Cost
associated with replacement is Rs 12,500.
Find Taguchi loss function and QLF.
Ans) Specification= 32.25
Deviation = 0.25mm
P=0.75 (75%)
Replacement cost = 12,500/Loss is expected cost of repair, C = 12000*0.75= 9375
k = C/d2 = 9375/0.252 = Rs 1,50,000
QLF = L(x) = 1,50,000(x-N)2

132

Q) Taguchi QLF of a component in a component is L(x)

= 2520 (x-N)2 , where x is actual value of a critical
dimension N is nominal value. N= 162.00 mm.
determine the value of loss function of for tolerance
of a) +/- 0.25 mm & b) +/- 0.15 mm .
Ans) L(x) = 2520 (x-N)2
N = 162.00 mm
Tolerance (T) = (x-N)
When (T) =0.25 mm
L(x) = 2520 (0.25)2 = Rs 157.5
When (T) =0.15 mm
L(x) = 2520 (0.15)2 = Rs 56.70
133

PRODUCT QUALITY
Vs
SERVICE QUALITY

134

DIMENSIONS OF QUALITY
Various features of a product or service.

Product Quality

Service Quality

1.
2.
3.
4.
5.
6.

1. Customer Service
2. Service Design
3. Service Delivery

Functionality
Reliability
Usability
Maintainability
Efficiency
Portability

135

PRODUCT QUALITY Vs SERVICE QUALITY

80% of workers globally employed in service
sector.
90% of the potential for improvement may lie
in service industries and service jobs in
manufacturing firms.

PRODUCT QUALITY Vs SERVICE QUALITY

People employed in manufacturing functions
tend to focus on production first and quality
second.
Concern for quality was lacking among
workers & quality as an objective in
manufacturing was secondary to the primary
goal of meeting production schedules .

PRODUCT QUALITY Vs SERVICE QUALITY

Supervisors set targets related to productivity
and cost reduction than quality improvement

PRODUCT QUALITY Vs SERVICE QUALITY

The strongest complaints of customers
registered not for products but rather for
services.

Executives rate quality of service as a more

critical issue than quality of product.

PRODUCT QUALITY Vs SERVICE QUALITY

Customer service considered
dimensions of competitiveness.

major

Improving quality and service to customers as

the key to competitive success.
Competitive edge is price. To admit that
products and services are commodities

PRODUCT QUALITY Vs SERVICE QUALITY

Defining and controlling quality of service
more difficult than quality assurance of
products.
The process of quality control less manageable
but no less important.

PRODUCT QUALITY Vs SERVICE QUALITY

Service company operations are the intangible
nature of the output & the inability to store
the output.

PRODUCT QUALITY Vs SERVICE QUALITY

The behavior of the service provider becomes
a factor in service delivery.
The service recipient has the final say
regarding quality.

PRODUCT QUALITY Vs SERVICE QUALITY

Service requires contact between the service
provider and the service recipient.
The image of the organization shapes the
perception of customers .

PRODUCT QUALITY Vs SERVICE QUALITY

The measure of output difficult to define
Quality can mean different things to different
people given the same experience

Quality defined in the context of the totality of

the experience.

STRATEGIC
PLANNING

146

GOALS Vs OBJECTIVES

Goals

Long term planning

Eg., Win the war

Objectives

Short term planning

Eg., Capture the bridge

GOALS / OBJECTIVES SETTING

Improve customer satisfaction, employee
satisfaction and process
Be based on statistical evidence
Be measurable
Have a plan or method for its achievement
Have a time frame for achieving the goal
Finally, it should be challenging yet achievable

Goal setting

STRATEGIC PLANNING
Making Plans for the Following:
1. Business Value
2. Markets to be served
3. Investment in machinery and equipment
4. Manpower to be hired
5. Budget
6. Product Diversification
7. Strategies for improving properties
Etc.

7 Steps in Strategic Planning

Customer Needsidentify needs, requirement
Customer Positionshould we give up, maintain or expand
Predict the futuretools and economic forecasts and technical projection
Gap analysisb/w the current stage and the future (value stream mapping)
Closing the gapsspecific plan (process improvement)
Alignmentrevised plan with mission & vision
Implementationresource allocation, designing changes, overcome the resistance.

151

Steps

Identification of customer needs

Determination of customer positioning
Predict the future
Gap analysis
Closing the gap
Aligning the plan to the mission and vision
Implementation of the plan

STEPS INVOLVED IN STRATEGIC QUALITY

PLANNING
1.
2.
3.
4.
5.
6.
7.

Customer needs
Customer positioning
Predict the future
Gap analysis
Closing the gap
Alignment
Implementation

QUALITY TRILOGY:
Juran is well known for originating the idea of the quality trilogy:
Quality planning, is necessary so that companies identify their
customers, product requirements, and overriding business goals.
Processes should be set up to ensure that the quality standards
can be met.
Quality control, stresses the regular use of statistical control
methods to ensure that quality standards are met and to identify
variations from the standards.
Quality improvement, according to Juran, quality improvements
should be continuous as well as breakthrough. Together with
Deming, Juran stressed that to implement continuous
improvement workers need to have training in proper methods on
a regular basis.
154

TQM
IMPLEMENTATION

155

TQM implementation

TQM IMPLEMENTATION
Begins with Management Commitment
Select a consultant
Leadership is essential during every phase of
the implementation process and particularly
at the start

TQM IMPLEMENTATION
Senior Management should develop an
implementation plan
Timing of the implementation process is very
important
Communicate TQM to the entire organization

TQM IMPLEMENTATION
Formation of Quality Council

The council establishes the project teams and

work groups and monitors their progress
Early discussions with the Union is a must
Training on quality awareness and problem
solving

TQM IMPLEMENTATION
Customer, Employee and Supplier surveys
must be conducted to benchmark
Active involvement of Middle Managers and
First Line Supervisors is essential

BARRIERS TO TQM IMPLEMENTATION

Lack of Management Commitment

Inability to change Organizational culture
Improper planning
Lack of continuous training and education
Incompatible organizational structure and isolated individuals
and departments
Ineffective measurement techniques and lack of access to
data and results
Paying inadequate attention to internal and external
customers
Inadequate use of empowerment and teamwork
Failure to continually improve

BARRIERS TO TQM IMPLEMENTATION

Lack of management commitment

BARRIERS TO TQM IMPLEMENTATION

inability to change organization culture

BARRIERS TO TQM IMPLEMENTATION

Improper planning

BARRIERS TO TQM IMPLEMENTATION

inadequate use of empowerment and
teamwork

BARRIERS TO TQM IMPLEMENTATION

Lack of continuous training and education

BARRIERS TO TQM IMPLEMENTATION

Incompatible organisational structure &
isolated individuals and department

BARRIERS TO TQM IMPLEMENTATION

Inefficient measurement techniques & lack of
access to data and results

BARRIERS TO TQM IMPLEMENTATION

Paying inadequate attention to customers
Failure to continually improve

BARRIERS TO TQM IMPLEMENTATION

BENEFITS OF TQM

Improved quality
Employee participation
Team work
Working relationships
Customer satisfaction
Employee satisfaction
Productivity
Communication
Profitability
Market share

Obstacles to Implementing TQM

Lack of a company-wide definition of quality.

Lack of a formalized strategic plan for change.
Lack of a customer focus.
Poor inter-organizational communication.
Lack of real employee empowerment.
Lack of employee trust in senior management.
View of the quality program as a quick fix.
Drive for short-term financial results.
Politics and turf issues.

Performance

PDCA Cycle repeated to create continuous improvement

Plan
Act

Do
Check

Continuous
improvement

Time

Customer Satisfaction
Types of Customers
Customer Supplier Chain

176

CUSTOMER SATISFACTION
Various features of Customer Satisfaction are:

1. Delivery
- With right quality
- In right quantity
- At the right time
- At the right price
- At the right place
2. Good customer service
3. Company reputation
177

CUSTOMER SATISFACTION
Customer is the King

Customer dictates the market trends and direction

Customer not only has needs to be supplied ( basic
performance functions)
Also he wants what he wants!( additional features satisfy
him and influence his purchase decision)

Hence the Suppliers and Manufacturers have to closely follow

up with the customer.

Customer satisfaction Model: (Teboul Model)

Company offer
(product or service)

Needs not fulfilled

Customer
needs

Customer satisfaction

Total satisfaction is achieved when offer

matches the need i.e. circle is

Service organizations and customer satisfaction

Difficult but not impossible

Determine key performance indicators
Set Targets SMART goals
Make teams
Analyze them on weekly basis
Standardize
Sustain

Why customers leave?

Others, 9%
Better prices
elsewhere, 9%

Product
dissatisfaction,
13%

Poor service 69%

Who is the customer?

One who uses the product or service, the one who purchases
the product or service or the one who influences the
product or service.

Two types of customers:

Internal customers
External customers

TYPES OF CUSTOMERS
External current, prospective and lost
customers
Internal Every person in a process is a
customer of the previous operation.
(applies to design, manufacturing, sales,
supplies etc.)

CUSTOMER SUPPLIER CHAIN

Outputs to
external customers
Inputs from
external customers

Internal customers

CUSTOMER SUPPLIER CHAIN

Each worker should see that the quality meets
expectations of the next person in the
supplier-to-customer chain
TQM is commitment to customer-focus
Both internal and external

Internal Customer/Supplier Relationships

Questions asked by people to their internal
customers
What do you need from me?
What do you do with my output?
Are there any gaps between what you need
and what you get?
Good team-work and inter-Departmental
harmony is required.

TQM and Customer quality percepts

There is no full stop and no break in the chain!
Continuous process improvement is all.
Why? One important reason is the customer quality level is
not static and his expectations keep changing and his
demands too!
Also plant process dynamics- how to achieve maximum
efficiency , optimizing cost and performance in the process
operations, minimizing waste etc.

Categories of customers:

Angry customers

Demanding customers

Passive customers

CUSTOMER PERCEPTION OF
QUALITY

189

Customer perception of quality:

An American Society for quality (ASQ) survey on customer
perception about quality of product or service shows the
following ranking.
1.
2.
3.
4.
5.
6.

Performance
Features
Service
Warranty
Price
Reputation

CUSTOMER PERCEPTION OF QUALITY

Performance
-

fitness for use

psychological, time oriented, technological

time lag in various operations, excellent customer

service more difficult than a good quality product

replacement of parts, feed back on the product

willing to pay a high price to get value

Life long customers

errors in documentation and delivery

Features
Service

Warranty
Price

Reputation

Customer Feedback

Methods.

Comment card
Report card
Customer questionnaire
Toll free phone numbers
Customer visits
Focus groups (GD with a moderator)
Feedback through emails/internet
Employee feedback

Comment card

Report card

Customer questionnaire

Toll free phone numbers

Customer visits

Focus groups

Online focus groups

Feedback through emails/internet

Employee feedback

Customer Complaints

CUSTOMER COMPLAINTS
Related to Product

Related to Service Quality

1.
2.
3.
4.
5.
6.

1.
2.
3.
4.
5.
6.

Defective
Unreliable
Not meeting reqmt.
Higher expectation
Frequent break down
Defective parts

Poor response
Slow response
Behavior/courteousness
Incompetence of team
Persistent defect
Hidden cost in service

207

CUSTOMER COMPLAINTS
Guidelines for Effective Problem Resolution
1. Admit mistakes and dont be defensive.
2. Act fast, especially the first response.
3. Understand the problem fully.
4. Dont argue with the customer.
5. Acknowledge the customers feelings.
6. Clarify the steps needed to solve the problem.
7. Sitrep on progress.
8. Compensation for the inconvenience.
9. Give benefit of the doubt.
10. Try to regain good will.
208

CUSTOMER COMPLAINTS
Investigate customers experiences by actively
getting feed back, both positive and negative,
and then acting on it promptly

Develop procedures for complaint resolution

that include empowering front line
personnel.

CUSTOMER COMPLAINTS
Analyze complaints, but understand that
complaints do not always fit into neat
categories.

Work to identify process and material

variations and then eliminate the root cause.
More inspection is not corrective action.

CUSTOMER COMPLAINTS
When a survey response is received, a senior
manager should contact the customer and
strive to resolve the concern.
Communicate complaint information, as well
as the results of all investigations and
solutions, to all people in the organization.

CUSTOMER COMPLAINTS
Provide a monthly complaint report to the
quality council for their evaluation.
Identify customers expectations beforehand
rather than afterward through complaint
analysis.

CUSTOMER RETENTION

CUSTOMER RETENTION
Top management commitment to the
customer satisfaction.
Identify and understand the customers what
they like and dislike about the organization.
1) sampled surveys on customer satisfaction,
focus groups, interviews

CUSTOMER RETENTION
Develop standards of quality service and
performance.
Recruit, train and reward good staff.
1) high employee retention significant effect
on customer retention
Always stay in touch with customer.

CUSTOMER RETENTION
Work towards continuous improvement of
customer service and customer retention.
Reward service accomplishments by the frontline staff.

CUSTOMER RETENTION
Customer Retention moves customer
satisfaction to the next level by determining
what is truly important to the customers.

SERVICE QUALITY
Customer service is the set of activities an
organization uses to win and retain customers
satisfaction.
It can be provided before, during, or after the
sale of the product .

SERVICE QUALITY

Organization
Customer Care
Communication
Front-Line people
Leadership

SERVICE QUALITY

Organization
Identify each market segment.
Write down the requirements.
1) service quality manual prepared
Communicate the requirements.
2) through training, video projections, meetings
Organize processes.

Organize physical spaces.

3) hospital- causality, ICU , OP

SERVICE QUALITY

Customer Care
Meet the customers expectations.
Get the customers point of view.
Deliver what is promised.
Make the customer feel valued.
Respond to all complaints.
Over respond to the customer.
Provide a clean and comfortable customer
reception area.

Customer Care

Keep promises to customers

Return customer calls promptly
Allot staff to handle customer problems
Treat customers with courtesy, respect and
professionalism always
Evaluate customer satisfaction regularly
Search for customer-related improvements
continuously
Deliver Products/Service promptly and efficiently
Give every customer complete and personal
attention.

Customer Care

Maintain a neat and clean appearance of self

and work-place, at all times
Review and implement customer feedback
and suggestions into current procedures
when needed
Training and education to enhance job
performance and commitment to customer
care
Treat every customer as we would treat
ourselves.

SERVICE QUALITY
Communication
Optimize the trade off between time and personal
attention.
Minimize the number of contact points.
1) single door service
Provide pleasant, knowledgeable and enthusiastic employees.
Write document in customer friendly language.
2) web site should be customer friendly

SERVICE QUALITY

Front-Line people
Hire people who like people.
1)need to care , smile with a positive attitude
Challenge them to develop better methods.
Give them the authority to solve problems
2) empowered to resolve complaints
Serve them as internal customers.
Be sure they are adequately trained.
3) oral, written communication skills , problem solving skills

Recognize and reward performance.

4) public rewards medals on republic day

SERVICE QUALITY
Leadership
1) every executive to spend time a few hours
every month behind customer service desk.
Lead by example.
Listen to the front-line people.
Strive for continuous process improvement.

TQM Principles & Basic Tools

227

TQM Principles & Basic Tools

Customer Satisfaction

Types of Customers

Customer Supplier Chain

Customer Perception of Quality

Customer Feedback & Complaints

Customer Retention & Service Quality

Employee Involvement & Motivation

Needs, Empowerment & Team Work

TQM Principles & Basic Tools

Basic Tools
Introduction to 7 basic tools

Stratification Scatter diagrams

Employee Involvement

TQM principles & strategies pertaining to

employee involvement are:

Motivation
Team work
Training & mentoring
Recognition & Rewards
Performance appraisal & feed back
Empowerment

Behavioral pattern of employees in an

organization
Self actualized
10 %
Fence sitters
80%

Difficult to improve
10 %

Employee Motivation

Motivation: Internal and external forces and influences

that drive an individual to achieve certain goals.

Motivation theories of individual employees:

Theory X: (Sigmund Frend)

o
o
o
o
o

This theory assumes that the employees can not be trusted and they
have to be supervised all the time. Theory X characterizes employees
as follow:
Avoid work
No ambition
No initiative
Do not take responsibilities
Needs security

Theory Y: (Douglas Mc Gregor)

o
o
o
o
o

According to this theory employees seek freedom to do difficult and

challenging jobs, all by themselves. Theory Y characterizes
employees as follow:
Want to learn
Work is a natural activity
Have self discipline
Develop themselves
Have self confidence

Theory Z: (Abraham Maslow)

Abraham Maslow believes that good qualities are inherent in people
atleast at birth, although later on they are gradually lost. He believes
that five basic human needs that motivate the employees are:
o
o
o
o
o

Self actualization needs

Self Esteem needs
Social needs
Safety needs
Physiological needs

Herzberg theory

Team Work:

Together every one achieves more

Team work is not a natural human function

Management role in enabling team work

Use of Quality circles

Training & Development:

Training enables employees in understanding;

- Objectives of the organization
- His role
- His responsibilities
- His authority
- Understanding the nature of job
Experienced recruits need more orientation
Training is not a one time activity

Recognition & Reward:

Recognition of achievement is important

Select a few best performers

Reward teams, rather than individual

Performance Appraisal:

Used for the development of employees

Each dept. head should prepare a action plan for each individual
for whole year.
Performance of each employee should be reviewed on quarterly
basis & reports submitted to mgnt.
Appraisals are used for several purposes as
o
o
o

Promotion
Granting of additional increments
Transfers

Training

Empowerment:
The process of displacing decision making downwards to the
workforce, or lower levels of management, to enable them
to use their skills more effectively and flexibly. The emphasis
is often on better engagement with customers.

Seven Quality Control Tools

What is QC
Problem Solving ?
Problem solving, the isolation and analysis
of a problem and the development of a
permanent solution, is an integral part of the
quality-improvement process.
Not hit or miss, but objective and systematic
Not directed at symptoms, but rather at root
causes

Statistical Process Control

The application of statistics to quality
control has enabled quick analysis and control of
quality in all types of businesses.

STATISTICS : Collection, Organization, Analysis, Interpretation and

Presentation of data.

The 7 Quality Tools are Problem Solving Tools which can

Help to identify and prioritise problems quickly and more

effectively.

Assist the decision making process.

Provide simple but powerful tools for use in continuous

improvement activity.

Provide a vehicle for communicating problems and resolutions

throughout the business.

Provide a way of extracting information from the data

collected.

The Seven QC Tools

Histograms
Control Charts
Run Charts
Pareto Charts
Cause and Effect Diagrams
Scatter Diagrams
Process Flow Charts

Lead Indicators of Quality

Variation indicates poor quality.
To measure variation, there are several
tools that can be used:

Histograms

Run Charts

Control Charts

Diagnostic Information
While Lead indicators tell that there IS a
While lead indicators
tell that there IS a
problem,
problem, diagnostic tools help determine
Diagnostic
tools
help
to
determine
WHAT the problem is.
WHAT the problem is.
Cause-andEffect
Effect Diagrams
Diagrams

Process Flow
Charts

Scatter
Diagrams

Pareto Charts

Histograms
Histograms are powerful tools for elementary analysis of data
that contain variations.
A histogram is a diagram which represents the class interval
and frequency in the form of a rectangle.
There will be as many adjoining rectangles as there are class
intervals.

Example
The daily wages of 50 workers, in rupees, are given below

Histogram
25

Frequency

20

15

10

Category

7 Quality Tools

Control Chart
To identify common cause and special cause
variations
According to walter A.Shewhart
A phenomenon will be said to be controlled when,
through the past experience, we can predict, at least
within limits, how the phenomenon can be expected
to vary in future

Control Chart

Control Chart
Process control involves monitoring a production process and charting the results on a control chart.
If any of the points plotted falls outside the control limits, the process is out-of-control.

27
UCL =
23.35

24
Number of defects

21

c = 12.67

18
15
12
9
6
3
2

LCL =
1.99
4
6

10

12

Sample number

14

16

Run Chart
A run chart, also known as a run-sequence plot is a graph that
displays observed data in a time sequence. Often, the data displayed
represent some aspect of the output.

What it is used for

To show the output of a
business process over time.

manufacturing or other

When to use
To monitor process performance
In determining when a change to a process might have
occurred.

An Example of Using a Run Chart

An organizations desire is to have
their product arrive to their
customers on time, but they have
noticed that it doesnt take the same
amount of time each day of the
week.
They decided to monitor the
amount of time it takes to deliver
their product over the next few
weeks.

Check Sheet

Defect Type

Shifts

Check Sheet
COMPONENTS REPLACED BY LAB
TIME PERIOD: 22 Feb to 27 Feb 1998
REPAIR TECHNICIAN: xxxx
TV SET MODEL 1013

Integrated Circuits
Capacitors
Resistors
Transformers
Commands
CRT

||||
|||| |||| |||| |||| |||| ||
||
||||
|

Pareto Charts
Pareto chart, named after Vilfredo Pareto, is a type of
chart which contains both bars and a line graph.
The purpose of the Pareto chart is to highlight the
most important among a (typically large) set of factors.
The bars display the values in descending order, and
the line graph shows the cumulative totals of each
category, left to right.
The left vertical axis is the frequency of occurrence,
but it can alternatively represent cost or other
important unit of measure.
The right vertical axis is the cumulative percentage of
the total number of occurrences, total cost, or total of
the particular unit of measure.

Pareto chart

Cause and Effect Diagram

Developed by Kaoru Ishikawa (1953)
The cause and effect diagram is also called the Ishikawa
diagram or the fishbone diagram.
It is a tool for discovering all the possible causes for a
particular effect.
The major purpose of this diagram is to act as a first step in
problem solving by creating a list of possible causes.

Constructing a Cause and Effect Diagram

First, clearly identify and define the problem or effect for
which the causes must be identified. Place the problem or
effect at the right or the head of the diagram.
Identify all the broad areas of the problem.
Write in all the detailed possible causes in each of the broad
areas.
Each cause identified should be looked upon for further
more specific causes.
View the diagram and evaluate the main causes.
Set goals and take action on the main causes.

Cause and Effect Skeleton

Materials

Procedures

Quality
Problem

People

Equipment

Cause and Effect Diagram

Fishbone Diagram
Measurement
Faulty testing equipment
Incorrect specifications
Improper methods

Inaccurate
temperature
control
Dust and
Dirt

Human

Out of adjustment

Poor supervision
Lack of concentration

Tooling problems
Old / worn

Inadequate training

Defective from vendor

Not to specifications
Materialhandling problems

Environment

Machines

Materials

Poor process
design
Ineffective quality
management
Deficiencies
in product
design

Process

Quality
Problem

Cause and effect diagrams

Advantages
making the diagram is educational in itself
diagram demonstrates knowledge of problem
solving team
diagram results in active searches for causes
diagram is a guide for data collection

Cause and effect diagrams

To construct the skeleton, remember:
For manufacturing - the 4 Ms
man, method, machine, material

For service applications

equipment, policies, procedures, people

Flowcharts
Graphical description of how work is done.
Used to describe processes that are to be improved.
A flowchart is a common type of diagram, that represents
an algorithm or process, showing the steps as boxes of
various kinds, and their order by connecting these with
arrows.
Flowcharts are used in analyzing, designing, documenting or
managing a process or program in various fields.
Draw a flowchart for whatever you do. Until you do, you
do not know what you are doing, you just have a job.

-- Dr. W. Edwards Deming.

Symbols
Start and end symbols
Represented as circles, ovals or rounded rectangles, usually containing the word
"Start" or "End", or another phrase signaling the start or end of a process, such
as "submit enquiry" or "receive product".

Arrows
Showing what's called "flow of control" in computer science. An arrow coming
from one symbol and ending at another symbol represents that control passes to
the symbol the arrow points to.

Processing steps
Represented as rectangles. Examples: "Add 1 to X"; "replace identified part";
"save changes" or similar.

Input/Output
Represented as a parallelogram. Examples: Get X from the user; display X.

The Seven QC Tools

Histograms
Control Charts
Run Charts
Pareto Charts
Cause and Effect Diagrams
Process Flow Charts
Scatter DiagramsStratification

Scatter Diagram
A scatter diagram is a tool for analyzing relationships between
two variables.
One variable is plotted on the horizontal axis and the other is
plotted on the vertical axis. The pattern of their intersecting
points can graphically show relationship patterns.

When to use it

Use a scatter diagram to examine theories about cause-and-effect

relationships and to search for root causes of an identified
problem.

Title and Label the Diagram

Interpret the data
Scatter diagrams will generally show one of six possible correlations
between the variables

Types of correlations
Strong Positive Correlation
Strong negative Correlation
weak Positive Correlation
Strong negative Correlation
Complex Correlation
week Correlation

Scatter Diagram

Strong Positive
Correlation
The value of Y clearly
increases as the value of
X increases.

Scatter Diagram

Strong Negative
Correlation
The value of Y clearly decreases
as the value of X increases.

Scatter Diagram

Weak Positive
Correlation
The value of Y increases
slightly as the value of X
increases.

Scatter Diagram

Weak Negative
Correlation
The value of
Y
decreases slightly as the
value of X increases.

Scatter Diagram

Complex Correlation
The value of Y seems to be
related to the value of X, but the
relationship
is
not
easily
determined.

Scatter Diagram

No Correlation
There is no demonstrated
connection between the two
variables.

Summary
This presentation provided learning material for each of
Ishikawas seven basic tools of quality.

As seen through the presentation, these tools are rather simple

and effective.

Why do we need the 7 QC tools?

TQM is data driven: data are impersonal;
opinions are not.
Experience is gained quickest by collecting and
analyzing data.
The 7 QC tools provide common methods of
analysis to help problem solving teams operate
effectively.

Unit - III
New 7 Management Tools &
Advanced Tools

287

New 7 Management Tools

1. Affinity diagram
2. Relations diagram
3. Tree diagram

4. Matrix diagram
5. Prioritization diagram (Matrix data analysis diagram)
6. Process Decision Program Chart (PDPC)
7. Activity Network Diagram (Arrow Diagram)

Advanced QC Tools
Quality Function Deployment (QFD)
Root cause analysis
Taguchi method (Taguchi loss function)
Mistake proofing (Poka-yoke)

Failure Mode & Effects Analysis (FMEA)

FMECA
Fault Tree Analysis

etc.

Quality Management Systems

(ISO 9000)

Affinity diagrams:

Advantages of Affinity Diagram

A team can generate a large number of ideas in a relatively short period of

time.
Encourages participation because every persons ideas find their way into
the process.
Encourages new thinking when only old solutions are emerging from a
group.
Facilitates the exploration of new and logical thought patterns by
encouraging people to react from a creative response level rather than the
intellectual and logical levels.
An effective way to deal with large and complex issues which may be
paralyzing the brainstorming of a team.
Consensus and support are reached on a solution because all participants
have ownership in the process.

Limitations of Affinity Diagram

The use of technical language skills may require
detailed clarification of ideas which is not allowed
because ideas are generated in silence and without
discussion.
Group members must have the necessary expertise on
the issue.
Getting a non-traditional group together that is
willing to engage in new thinking may be hard to
do.

Quality Management System

ISO 9000 STANDARDS

ISO 9001
Design, Development, Production, Installation &
Servicing
ISO 9002
Production, Installation & Servicing
ISO 9003
Inspection & Testing
ISO 9004
Provides guidelines on the technical, administrative
and human factors affecting the product or services.

BENEFITS OF ISO 9000 STANDARDS

Achievement of international standard of quality.

Value for money
Customer satisfaction
Higher productivity
Increased profitability
Improved corporate image
Access to global market
Growth of the organization
Higher morale of employees

LIMITATIONS OF ISO 9000

ISO 9000 simply limits itself to..

Say What You Do
DO What You Say

ISO 14000 ENVIRONMENTAL

MANAGEMENT SYSTEM
The overall aim of the Environmental
Management systems is to provide protection
to the environment and to prevent pollution

BENEFITS OF ENVIRONMENTAL
MANAGEMENT SYSTEM
GLOBAL BENEFITS
Facilitate trade & remove trade barrier
Improve environmental performance of planet
earth
Build consensus that there is a need for
environmental management and a common
terminology for EMS

BENEFITS OF ENVIRONMENTAL
MANAGEMENT SYSTEM
Organizational Benefits
Assuring customers of a commitment to environmental
management
Improve public relation
Increase investor satisfaction
Market share increase
Conserving input material & energy
Better industry/government relation
Low cost insurance, easy attainment of permits &
authorization

VISION STATEMENT
It is a short declaration of what an organization
aspires to be in future
Example :

Disney Theme Park -

Happiest place on earth

MISSION
It answers the following questions
Who we are?
Who are the customers?
What we do?
How we do it?
It describes the function of the organization. It
provides a clear statement of purpose for
employees, customers & suppliers

QUALITY POLICY
It is a guide for everyone in the organization as
to how they should provide products and
services to the customers.

QUALITY POLICY
Quality is first among equals
Meet the needs of the internal & external
customers
Equal or exceed competition
Continuously improve the quality
Utilize the entire workforce

QUALITY COUNCIL
The council is composed of
1. Chief Executive Officer
2. Senior Managers
3. Management Representative
4. A Representative from the Union

Duties of the Quality council

Develop the core values, vision statement,
mission statement and quality policy
statement
Develop the strategic long term plan with
goals and Annual Quality Improvement
Program with objectives
Create the total education and training plan
Determine and monitor the cost of poor
quality

Duties of the Quality council

Determine the performance measures
Determine projects those improve the process
Establish multifunctional project and work
group teams
Revise the recognition and rewards system

A typical Quality council meeting agenda

Progress report on teams

Customer satisfaction report
Progress on meeting goals
New project teams
Benchmarking report

END

The 5S Method
Seiko
Seiton

- Sort ( Proper arrangement )

- Set ( Systematic or
Orderliness )
Seiso
- Shine ( Sweep or clean-up )
Seiketso - Standard ( Personal
cleanliness )
Shitsuke - Sustain ( Self-discipline )

WHAT IS FAULT TREE ANALYSIS (FTA)?

FTA is a deductive logic model techniques..a common hazard

identification tool.
The deduction begins with a stated top level hazardous/undesired
event.
It uses logic diagrams and Boolean Algebra to identify single
events and combinations of events that could cause the top event.
Probability of occurrence values are assigned to the lowest events
in the tree in order to obtain the probability of occurrence of the
top event.
Palaniappan Kannan CFSE
333

FAULT TREE MAIN SYMBOLS.

Commonly Used Symbols
OR gate

Incomplete event

AND gate

An External Event

An Event / Fault

Basic Event

Palaniappan Kannan CFSE

334

Occasionally Used Symbols

Inhibit gate

FTA Symbols Explained

Basic Event:

A lower most event that can not be further developed.

E.g. Relay failure, Switch failure etc.,

An Event / Fault:

This can be a intermediate event (or) a top event. They

are a result logical combination of lower level events.
E.g. Both transmitters fail, Run away reaction

OR Gate:

Either one of the bottom event results in occurrence of

the top event.
E.g. Either one of the root valve is closed, process signal
to transmitter fails.

AND Gate:

For the top event to occur all the bottom events should
occur.
E.g. Fuel, Oxygen and Ignition source has to be present for fire.

Palaniappan Kannan CFSE

335

FTA Symbols Explained

Incomplete Event:

An event which has scope for further development but

not done usually because of insufficient data.
E.g. Software malfunction, Human Error etc.,

External Event:

An event external to the system which can cause failure.

E.g. Fire.

Inhibit Gate:

The top event occurs only if the bottom event occurs and
the inhibit condition is true.
E.g. False trip of unit on maintenance override not ON.

Palaniappan Kannan CFSE

336

Simple Examples
Example 1:

0.28
Transmitter Failed

OR
0.1

Transmitter 1
Failed

Example 2:

Transmitter 2
Failed

0.2

Valve 2
Failed

0.002

0.000002(2E-06)
Valve Failed

AND
0.001
Palaniappan Kannan CFSE
337

Valve 1
Failed

Procedure
Procedure for Fault Tree Analysis
Define TOP
event

Palaniappan Kannan CFSE

338

Define overall
structure.

Explore each
branch in
successive level
of detail.

Perform
corrections if
required and
make decisions

Solve the fault

tree

Procedure
Define Top Event:

Use PHA, P&ID, Process description etc., to define the top event.

If its too broad, overly large FTA will result. E.g. Fire in process.

If its too narrow, the exercise will be costly. E.g. Leak in the valve.

The boundaries for top event definition can be a System, Sub-system, Unit, Equipment (or) a
Function.

Some good examples are: Overpressure in vessel V1, Motor fails to start, Reactor high
temperature safety function fails etc.,

Palaniappan Kannan CFSE

339

Procedure
Procedure for Fault Tree Analysis
Define TOP
event

Palaniappan Kannan CFSE

340

Define overall
structure.

Explore each
branch in
successive level
of detail.

Perform
corrections if
required and
make decisions

Solve the fault

tree

Procedure
Define overall structure:

Determine the intermediate events & combination of failure that will lead to the top event.

Arrange them accordingly using logical relationship.

Palaniappan Kannan CFSE

341

Procedure
Procedure for Fault Tree Analysis:
Define TOP
event

Palaniappan Kannan CFSE

342

Define overall
structure.

Explore each
branch in
successive level
of detail.

Perform
corrections if
required and
make decisions

Solve the fault

tree

Procedure
Explore each branch in successive level of detail:

Continue the top down process until the root cause for each branch is identified and/or until
further decomposition is considered unnecessary.

So each branch will end with a basic event or an undeveloped event.

Consider Common cause failure & Systematic failures in the process of decomposition.

A good guide to stop decomposing is to go no further than physical (or) functional bounds
set by the top event.

Palaniappan Kannan CFSE

343

Procedure
Procedure for Fault Tree Analysis:
Define TOP
event

Palaniappan Kannan CFSE

344

Define overall
structure.

Explore each
branch in
successive level
of detail.

Perform
corrections if
required and
make decisions

Solve the fault

tree

Procedure
Solve the Fault Tree:

Assign probabilities of failure to the lowest level event in each branch of the tree.

From this data the intermediate event frequency and the top level event frequency can be
determined using Boolean Algebra and Minimal Cut Set methods.

Palaniappan Kannan CFSE

345

Procedure
Steps to get the final Boolean equation:
1. Replace AND gates with the product of their inputs.

TOP

IE1 = A.B
IE2 = C.D
2. Replace OR gates with the sum of their inputs.
TOP = IE1+IE2

IE1

= A.B+C.D

IE2

3. Continue this replacement until all intermediate event gates

have been replaced and only the basic events remain in the

equation.
TOP = A.B+C.D

Palaniappan Kannan CFSE

346

Procedure
Minimal Cut Set theory:

The fault tree consists of many levels of basic and intermediate events linked together by
AND and OR gates. Some basic events may appear in different places of the fault tree.

The minimal cut set analysis provides a new fault tree, logically equivalent to the original,
with an OR gate beneath the top event, whose inputs (bottom)are minimal cut sets.

Each minimal cut set is an AND gate with a set of basic event inputs necessary and sufficient
to cause the top event.

Palaniappan Kannan CFSE

347

Procedure
Boolean Algebra Reduction Example:
TOP

= IE1 + IE2
= (A.B) + (A + IE3)
= A.B + A + (C.D.IE4)
= A.B + A + (C.D.D.B)
= A + A.B + B.C.D.D (D.D = D)
= A + A.B + B.C.D (A + A.B = A)
= A + B.C.D

So the minimal cut sets are:

CS1 = A
CS2 = B.C.D
meaning TOP event occurs if
either A occurs OR (B.C.D) occurs.
Palaniappan Kannan CFSE
348

TOP

IE1

IE2

IE3

IE4

Procedure
Procedure for fault tree analysis:
Define TOP
event

Palaniappan Kannan CFSE

349

Define overall
structure.

Explore each
branch in
successive level
of detail.

Perform
corrections if
required and
make decisions

Solve the fault

tree

Procedure
Perform corrections and make decisions:

Application of Boolean Algebra and Minimal Cut Set theory will result in identifying the basic
events(A) and combination of basic events(B.C.D) that have major influence on the TOP
event.

This will give clear insight on what needs to be attended and where resources has to be put
for problem solving.

Palaniappan Kannan CFSE

350

Advantages of FTA
Plus points of FTA:

Deals well with parallel, redundant or alternative fault paths.

Searches for possible causes of an end effect which may not have been foreseen.

The cut sets derived in FTA can give enormous insight into various ways top event occurs.

Very useful tool for focused analysis where analysis is required for one or two major
outcomes.

Palaniappan Kannan CFSE

351

Disadvantages of FTA
Minus points of FTA:

Requires a separate fault tree for each top event and makes it difficult to analyze complex
systems.

Fault trees developed by different individuals are usually different in structure, producing
different cut set elements and results.

The same event may appear in different parts of the tree, leading to some initial confusion.

Palaniappan Kannan CFSE

352

San Jose State University

CMPE 203, Fall 2009

Root Cause Analysis

Presented By:
Team: Incredibles

Agenda

Introduction
What is RCA?
Why do we need?
Types of RCA
Techniques/Tools
- Kepner-Tregoe Method
- FMEA
- Fishbone Diagram

Case study of RCA

Root Cause Analysis

What is Root Cause Analysis?

- Finding the real cause of the problem and dealing with it rather
than simply continuing to deal with the symptoms

Reactive method

Goals
- Failure identification
- Failure analysis
- Failure resolution

Iterative Process:
- Complete prevention of recurrence by a single intervention is
not always possible.

Steps for Root Cause Analysis

Collection of data - Phase I
- A fact-finding investigation, and not a fault-finding mission

Event Investigation - Phase II

- Objective evaluation of the data collected to identify any causal factor that
may have led to the failure

Resolution of occurrence - Phase III

- Realistic assessment of the viability of the corrective action that the previous
phase revealed.
- The phenomenon must then be monitored periodically to verify resolution.

Why do we need it
Benefits of RCA
- Real cause of the problem can be found
- Problem recurrence will be minimized

Types of RCA
Safety-based RCA

Production-based RCA
Process-based RCA
Systems-based RCA

Types of RCA

Safety-based RCA
- Investigating Accident and occupational safety and health.
- Root causes:- unidentified risks, or inadequate safety engineering,
missing safety barriers.

Production-based RCA
- Quality control for industrial manufacturing.
- Root causes:- non-conformance like, malfunctioning steps in production
line.

Types of RCA

Process-based RCA
- Extension of Production-based RCA.
- Includes business processes also.
- Root causes:- Individual process failures

System-based RCA
- Hybrid of the previous types
- New concepts includes:- change management, systems thinking, and
risk management.
- Root causes:- organizational culture and strategic management

Methods of Root Cause Analysis

Change Analysis
Barrier Analysis
MORT: Management Oversight and Risk
Tree
Human Performance Evaluation (HPE)

Kepner-Tregoe Method
Developed in 1958
Fact-based approach to systematically rule out
possible causes and identify the true cause.
Composed of fives Steps:
-

Define the Problem

Describe the Problem
Establish possible causes
Test the most probable cause
Verify the true cause

Kepner-Tregoe is a mature process with decades

of proven capabilities.
Kepner-Tregoe Problem Analysis was used by
NASA to troubleshoot Apollo XIII.

Tools for Root Cause Analysis

Failure Mode effect and Analysis

(FMEA)

Methodology for analyzing potential reliability problems early in the

development cycle.

Failure modes are any errors or defects in a process, design, or item,

especially customer related.

Effects analysis refers to studying the consequences of those failures.

FMEA Example

FMEA
Benefits:

Improves the quality, reliability, and safety of products.

Increases customer satisfaction.
Stimulates open communication and collective Expertise.

Disadvantages:
Assumes cause of problem is a single event.
Examination of human error overlooked.

Fishbone Analysis

Definition
- Technique to graphically identify and organize many possible causes of a
problem

Advantages
- Helps to discover the most likely ROOT CAUSES of a problem

- Teach a team to reach a common understanding of a problem.

Fishbone Analysis

Components :
- Head of a Fish : Problem or Effect
- Horizontal Branches : Causes
- Sub branches : Reason
- Non- service Categories : Machine, Manpower, Method etc.
- Service categories : People, Process, Policies, Procedures etc.

Measurement

Material
cause

Machine
cause
reason

cause

Management

Method

cause
reason

Man Power

Problem

Fishbone Analysis
5 WHYS
Didnt buy
this morning

WHY

Ran out of Gas

WHY

Car stopped
Middle of the road

WHY

Didnt have
money

WHY

WHY
Lost them in
last nights poker

Not very good

in bluffing

Case Study Safeway.com

Safeway outsourced a module of Safeway online
to HCL, India
Project Details Add a new module for selling
Patio furniture online on http://Safeway.com .
Agreed duration - 8 months, June, 07 to February,
08
Actual delivery June 08
After the project was finished TCS performed a
Root Cause Analysis to analyze the delays and to
avoid problems in future.

Case Study Fishbone Analysis

Control
No Clear Understanding

Scope Definition
No Clear deadlines

Wrong Estimates

No backup for Critical Resources

Inadequate Resources

Communication
No Communication plan

Resources

Inventory

Inventory Update
Every 12 hours

Real time inventory

Separate Systems

Separate Systems for Sales &

Supplier
Managed Systems

Different Suppliers

Lack of Standards
Time and Format of
Systems different

Benchmarking

Project Delay

Conclusion
Learning for the future projects.
Encourages Team based problem solving
approach.
Errors are frequent and inevitable.
Saves cost and helps in identifying
solutions.

CONTENTS
INTRODUCTION

WHAT IS ERROR ?
POKA YOKE OVER ERRORS
IMPORTANCE

WHEN TO USE
HOW TO USE
METHODS

DAY 2 DAY EXAMPLES

374

WHAT IS POKA YOKE ???

NO

a) Brother of PIKACHU

b) A new Chinese action hero

Its a mistake
proofing
c) A disease
technique used by each of us
375

INTRODUCTION
Pronunciation POH-KAH-YOH-KAY
YOKERU

Avoid

POKA

Mistakes

Coined in Japan during the 1960s by

as part of the

Toyota Production System

Shigeo Shingo
376

INTRODUCTION (Cont.)
Initially BAKA-YOKE

fool-proofing

Dishonorable and offensive

Changed to POKA-YOKE

mistake-proofing

377

WHAT IS ERROR ???

A mistake : deviation from what is correct, right, or true

How to prevent error

Old way

Scold people
Retrain them
Tell them to be more careful

New way

Training and motivation

Easy way to do a job

The potential for human error can be dramatically reduced

378

What Causes Defects?

Errors lead to defects
1. Poor procedures or standards
2. Machines
3. Non-conforming material

4. Worn tooling
5. Human Mistakes

379

380

Poka Yoke over Errors

Help operators avoid mistakes in their work caused by choosing the

wrong part, leaving out a part, installing a part backwards, etc.

Involves the implementation of fail-safe ways methods that detect

or prevent human and machine error at or near the source.

Provides instant feedback and prevention of quality problems

381

Poka-Yoke as a
Poka Yoke as Prevention Device:

Examples: part locators, part present sensors.

Poka Yoke as Detection Device:

Examples: vision system, limit sensors

382

383

Why is it important?
Helps people and processes

Refers to techniques that make it impossible to make mistakes.

Helps drive defects out of products and processes and substantially

improve quality and reliability.

Thought of as an extension of FMEA.

384

Contd
Used to fine tune improvements and process designs from

six-sigma.

Use the ideas and methods in product and process design

which can eliminate both human and mechanical errors.

385

When to use it?

It is a technique, a tool that can be applied to any type of

process be it in manufacturing or the service industry.

Poka-yoke can be used wherever something can go wrong or

an error can be made.

386

Contd
Errors can be of any typei.
ii.
iii.
iv.
v.

vi.

Processing Error: Process operation missed or not performed

per the SOP.
Setup Error: Using the wrong tooling or setting machine
adjustments incorrectly.
Missing Part: Not all parts included in the assembly, welding,
or other processes.
Improper part/item: Wrong part used in the process.
Operations Error: Carrying out an operation incorrectly;
having the incorrect version of the specification.
Measurement Error: Errors in machine adjustment, test
measurement or dimensions of a part coming in from a
supplier.
387

How to use it?

Step by step process in applying poka-yoke:

1.

Identify the operation or process

2.

Analyze the 5-Ws and understand the ways a process can fail.

3.

Decide the right Poka-yoke approach, such as using a,

Shut out Type: Preventing an error being made, or an
Attention Type: Highlighting that an error has been made.

388

Contd
4. Determine whether a

Contact Method
Constant Number or Counting Method
Motion-Sequence Method
5. Trial the method and see if it works.
6. Train the operator, review performance and measure

success.
389

Methods in Detail
Contact Methods:Do not have to be high tech!
These can be as simple as blocks that do not allow
parts to be seated in the wrong position prior to
processing.

390

Methods in Detail
Take advantage of parts designed with an
uneven shape.

This method signals to the operator right

away that the part is not in proper position.

391

Methods in Detail
Constant Number or Counting Method: Used when a fixed number of operations are required
within a process.
When a product has a fixed number of parts that are
attached to it.
A sensor counts the number of times a part is used or
a process is completed and releases the part only
when the right count is reached.
392

Methods in Detail
Motion-Sequence Method: The third poka yoke method uses sensors to
determine if a motion or a step in a process has
occurred.
If the step has not occurred or has occurred out
of sequence, the sensor signals a timer or other
device to stop the machine and signal the
operator.
393

Day 2 Day Examples of

Poka-Yoke

394

Disk
395

File cabinets, opening one drawer locks all the rest, reducing
the chance of the file cabinet tipping.
396

Sinks

397

 Microwaves
Washing machines
Central locking in modern cars
Key locks in mobiles
Refrigerators
Beeps in automobiles if key is left in ignition

398

Okay, So This Is Not An Everyday

Example For Anybody. I Hope You'll
Find It Interesting

399

Submarine

The bathyscaph is a deep water submarine used to explore the very lowest parts
of the ocean. It is electrically powered. Once at the bottom, if the batteries or
electrical system fail the best outcome would be for the sub to return to the
surface. The designers made this outcome occur by holding the ballast in place
with electromagnets. When power is lost, the ballast drops off automatically and
the sub starts its ascent.
400

Characteristics of PokaYoke devices

Simple and cheap

Part of the process, permitting 100% inspection

Placed close to where the mistakes occur, providing quick
feedback
Designed to stop a particular mistake
A detection device cannot provide a complete error proof

solution

401

REMEMBER
TO ERR IS HUMAN NATURE
BUT
INTELLIGENCE IS ALSO HUMAN
NATURE
SO
NEVER STOP FINDING WAYS OF
NOT MAKING MISTAKES

402

QUALITY FUNCTION DEPLOYMENT

Quality Function Deployment is a planning
tool used to fulfill customer expectations.

Quality Function Deployment focuses on

customer expectations or requirements, often
referred to as voice of the customer.

QFD TEAM
1. Team for designing a new product

2. Team for improving an existing product

BENEFITS OF QFD
Improves Customer satisfaction
Uses competitive information effectively
Prioritizes resources
Identifies items that can be acted upon

Creates focus on customer requirements

BENEFITS OF QFD
Reduces Implementation Time
Decreases midstream design changes
Limits post introduction problems
Avoids future development redundancies

BENEFITS OF QFD
Promotes Team Work
Based on consensus

Creates communication

Identifies actions

House of Quality Example

Youve been assigned
temporarily to a QFD team.
The goal of the team is to
develop a new camera
design. Build a House of
Quality.

House of Quality Example

Customer
Requirements

Customer
Importance

Target Values

High relationship
Medium relationship Low Relationship

House of Quality Example

What the customer desires
(wall)

Customer
Requirements

Customer
Importance

Aluminum
Parts

Auto
Focus

Auto
Exposure

Light weight
Easy to use
Reliable
Target Values

High relationship
Medium relationship Low Relationship

House of Quality Example

Average customer
importance rating
Customer
Requirements

Light weight
Easy to use
Reliable

Customer
Importance

Aluminum
Parts

Auto
Focus

Auto
Exposure

3
2
1

Target Values

High relationship Medium relationship Low Relationship

House of Quality Example

Relationship between customer
attributes & engineering
characteristics (rooms)

Customer
Requirements

Light weight
Easy to use
Reliable

Customer
Importance

3
2
1

Aluminum
Parts

Auto
Focus

Auto
Exposure

High relationship
Medium relationship Low Relationship

House of Quality Example

Target values for engineering
characteristics (basement);
key output

Customer
Requirements

Light weight
Easy to use
Reliable
Target Values

Customer
Importance

3
2
1

Aluminum
Parts

Auto
Focus

Auto
Exposure

High relationship
Medium relationship Low Relationship

House of Quality Example

Customer
Requirements

Light weight
Easy to use
Reliable
Target Values

Customer
Importance

3
2
1

Aluminum
Parts

Auto
Focus

Auto
Exposure

High relationship
Medium relationship Low Relationship

SAME EXAMPLE Complete your

self with the following what
Lightweight
Easy to use
Reliable
Easy to hold steady
Color correction

Solution

House of Quality Example

Interrelationships

What the
Custome
r
Wants

Technical
Attributes and
Evaluation

What the
customer
wants

Lightweight
Easy to use
Reliable
Easy to hold steady
Color correction

Relationship
Matrix

Customer
importance
rating
(5 = highest)

3
4
5
2
1

Analysis of
Competitor
s

How to Satisfy
Customer
Wants

House of Quality Example

Interrelationships

What the
Custome
r
Wants

Relationship
Matrix

Analysis of
Competitor
s

How to Satisfy
Customer
Wants

Ergonomic design

Paint pallet

Auto exposure

Auto focus

Aluminum components

Low electricity
requirements

Technical
Attributes and
Evaluation

How to Satisfy
Customer Wants

House of Quality Example

Interrelationships

What the
Custome
r
Wants

High relationship
Medium relationship
Low relationship
Lightweight
Easy to use
Reliable
Easy to hold steady
Color corrections

3
4
5
2
1

Relationship matrix

Relationship
Matrix

Technical
Attributes and
Evaluation

Analysis of
Competitor
s

How to Satisfy
Customer
Wants

House of Quality Example

Interrelationships

What the
Custome
r
Wants

Relationship
Matrix

Ergonomic design

Paint pallet

Auto exposure

Auto focus

Low electricity
requirements

Relationships
between the things
we can do

Aluminum components

Technical
Attributes and
Evaluation

Analysis of
Competitor
s

How to Satisfy
Customer
Wants

House of Quality Example

Interrelationships

What the
Custome
r
Wants

Relationship
Matrix

Technical
Attributes and
Evaluation

Lightweight
Easy to use
Reliable
Easy to hold steady
Color corrections

3
4
5
2
1

Our importance ratings 22

Weighted
rating

27 27

32

25

Analysis of
Competitor
s

How to Satisfy
Customer
Wants

Interrelationships

House of Quality Example

Technical
Attributes and
Evaluation

How well do competing

products meet customer
wants
Lightweight
Easy to use
Reliable
Easy to hold steady
Color corrections

3
4
5
2
1

Our importance ratings 22

Company B

Relationship
Matrix

Company A

What the
Custome
r
Wants

Analysis of
Competitor
s

How to Satisfy
Customer
Wants

G
G
F
G
P

P
P
G
P
P

Interrelationships

House of Quality Example

2 circuits

2 to

75%

Target
values
(Technical
attributes)

0.5 A

Technical
Attributes and
Evaluation

Panel ranking

Relationship
Matrix

Failure 1 per 10,000

What the
Custome
r
Wants

Analysis of
Competitor
s

How to Satisfy
Customer
Wants

Company A 0.7 60% yes 1 ok G

Technical
evaluation Company B 0.6 50% yes 2 ok F
Us
0.5 75% yes 2 ok G

Company B

Company A

Ergonomic design

Paint pallet

Auto exposure

Auto focus

Aluminum components

Lightweight

G P

Easy to use

G P

Reliable

F G

Easy to hold steady 2

G P

Color correction

P P

Company A

Technical Company B
evaluatio
n
Us

2 circuits

2 to

Target
values
(Technical
attributes)

75%

ratings

Panel ranking

22 9 27 27 32 25
Failure 1 per 10,000

Our importance

0.5 A

Completed
House of
Quality

Low electricity requirements

House of Quality Example

0.7 60% yes

ok

0.6 50% yes

ok

0.5 75% yes

ok

House of Quality Example

A company that manufactures
bicycle components such as cranks,
rims and so forth wants to expand
their product line by also producing
handlebar stems for mountain bikes.
Construct the house of quality for a
handle bar stem by first listing the
customer requirements.
Then
identify the corresponding technical
features of the product and develop
the various correlations.

TAGUCHIS
QUALITY LOSS FUNCTION

TAGUCHIS QUALITY LOSS FUNCTION

Taguchis Quality Loss Function concept combines
cost, target and variation in one metric with
specifications being of secondary importance.
Taguchi has defined quality as the loss imparted to
society from the time a product is shipped.
Societal losses include failure to meet customer
requirements, failure to meet ideal performance
and harmful side effects.

TAGUCHIS QUALITY LOSS FUNCTION

CUSTOMERS PERCEIVE QUALITY AS MEETING
THE TARGET
RATHER THAN

JUST MEETING THE SPECIFICATIONS

Three common quality loss functions:

1. Nominal - the best (eg Humidity level,
outside and inside diameter)
2. Smaller - the better ( eg Defects , impurity
levels )
3. Larger - the better ( eg mileage process
yields )

TAGUCHIS QUALITY LOSS FUNCTION

L (y) = k ( m y ) 2
k - quality loss function
y - value of quality characteristics
m - target value

SMALLER THE BETTER

The following figure shows the smaller the better
concepts.
The target value for smaller the better is 0. There
are no negative values for the performance
characteristic.
The radiation leakage from a microwave appliance,
the response time for a computer, pollution from an
automobile, out of round for a hole etc. are the
performance characteristics for this concept.

LARGER THE BETTER

The Larger the better..A Performance
Characteristic
Larger-the-better , y
In the Larger the better concept, the target value
is (infinity), which gives a zero loss. There are no
negative values and the worst case is at y = 0.
Actually, larger the better is the reciprocal of
smaller the better. The performance
characteristics in Larger the better are bond
strength of adhesives, welding strength etc.

FAILURE MODE AND EFFECTS ANALYSIS

(FMEA)

FAILURE MODE AND EFFECTS ANALYSIS

FMEA is an analytical technique that combines

-

The technology and

Experience of people

in identifying foreseeable failure modes of a

product or process and planning for its
elimination.

FMEA
Stages of FMEA
1. Specifying Possibilities
- Identify functions involved
- Determine possible failure modes
- Find out root causes
2. Quantifying Risk
- Determine probability of cause
- Determine severity of the failure & its effect
- Prioritise the risk
- Assign Risk Priority Number (RPN)

FMEA
Stages of FMEA
3. Correcting High Risk Causes
- Prioritise the work
- Explain action in a detailed manner

4. Re-evaluate Risk

Types of FMEA

Design FMEA
Process FMEA
System FMEA
Service FMEA

INTENT OF FMEA
To detect the potential product - related
failure mode.
FMEA evaluation to be conducted
immediately following the design phase.

BENEFITS OF FMEA
Having a systematic review of components
failure modes to ensure that any failure
produces minimal damage.
Determining the effects of any failure on other
items.
Providing input data for exchange studies.
Determining how the high-failure rate
components can be adapted to high-reliability
components.

BENEFITS OF FMEA
Eliminating / minimizing the adverse effects
that failures could generate.
Helping uncover the misjudgments, errors etc.
Reduce development time and cost of
manufacturing.

FMEA TEAM
Engineers from
Assembly
Manufacturing
Materials
Quality
Service
Supplier
Customer

FAILURE MODE AND EFFECTS

CRITICALITY ANALYSIS
(FMECA)

Failure mode and effects criticality

analysis (FMECA)
An extension of failure mode & effects
analysis (FMEA).
FMECA extends FMEA by including a criticality
analysis, which is used to chart the probability
failure modes against the severity of their
consequences.
FMEA + CA
Formulae

Failure mode and effects criticality

analysis (FMECA)

The result highlights failure modes with

relatively high probability and severity of
consequences, allowing remedial effort to be
directed where it will produce the greatest
value

MEAN FAILURE RATE

446

QUESTION
A test is conducted on 1000 components used on a
wire EDM machine, as given below. The total duration of the
test is 10 hours. Calculate Failure Density (Fd) , Failure rate
(Z) and Reliability (R).
Time, hrs
No. of failures No. of surviviors
Time, hrs

No. of failures

No. of surviviors

1000
213

65
6

787
143

118

97

56
52

9
429

78

194
138

526

286
92

644

351

4
4

10

447

Time

t
0

No. of
Failure
f

Cumulative
Failure
F

No. of
Survivors
S

1000

Failure
Density
fd

Failure
Rate
Z

Reliability

448

Time
t

No. of
Failure
f

0
213

Cumulative
Failure
F

No. of
Survivors
S

1000

Failure
Density
fd

Failure
Rate
Z

0.213

0.238

Reliability
R

449

Time
t

No. of
Failure
f

Cumulative
Failure
F

No. of
Survivors
S

1000

213
1

213

Failure
Density
fd

Failure
Rate
Z

0.213

0.238

Reliability
R

787

450

Time
t

No. of
Failure
f

Cumulative
Failure
F

No. of
Survivors
S

1000

213
1

213
143

Failure
Density
fd

Failure
Rate
Z

0.213

0.238

0.143

0.2

Reliability
R

787

451

Time
t

No. of
Failure
f

Cumulative
Failure
F

No. of
Survivors
S

1000

213
1

213
356

Failure
Rate
Z

0.213

0.238

0.143

0.2

Reliability
R

787

143
2

Failure
Density
fd

644

452

Time
t

No. of
Failure
f

Cumulative
Failure
F

No. of
Survivors
S

1000

213

213
356
118

Failure
Rate
Z

0.213

0.238

0.143

0.2

0.118

0.202

Reliability
R

787

143
2

Failure
Density
fd

644

453

Time
t

No. of
Failure
f

Cumulative
Failure
F

No. of
Survivors
S

1000

213
1

213
356
474

0.213

0.238

0.143

0.2

0.118

0.202

Reliability
R

644

118
3

Failure
Rate
Z

787

143
2

Failure
Density
fd

526

454

Time
t

No. of
Failure
f

Cumulative
Failure
F

No. of
Survivors
S

1000

213
1

213
356
474
97

0.213

0.238

0.143

0.2

0.118

0.202

0.097

0.203

Reliability
R

644

118
3

Failure
Rate
Z

787

143
2

Failure
Density
fd

526

455

Time
t

No. of
Failure
f

Cumulative
Failure
F

No. of
Survivors
S

1000

213
1

213
356
474
571

0.238

0.143

0.2

0.118

0.202

0.097

0.203

526

97
4

0.213

Reliability

644

118
3

Failure
Rate
Z

787

143
2

Failure
Density
fd

429

456

Time
t

No. of
Failure
f

Cumulative
Failure
F

No. of
Survivors
S

1000

213
1

213
356
474
571
78

0.238

0.143

0.2

0.118

0.202

0.097

0.203

0.078

0.2

526

97
4

0.213

Reliability

644

118
3

Failure
Rate
Z

787

143
2

Failure
Density
fd

429

457

Time
t

No. of
Failure
f

Cumulative
Failure
F

No. of
Survivors
S

1000

213
1

213
356
474

571
649

0.143

0.2

0.118

0.202

0.097

0.203

0.078

0.2

429

78
5

0.238

526

97

0.213

Reliability

644

118
3

Failure
Rate
Z

787

143
2

Failure
Density
fd

351
458

Time
t

No. of
Failure
f

Cumulative
Failure
F

No. of
Survivors
S

1000

213
1

213
356

474
571
649
65

0.143

0.2

0.118

0.202

0.097

0.203

0.078

0.2

0.065

0.204

429

78
5

0.238

526

97
4

0.213

Reliability

644

118

Failure
Rate
Z

787

143
2

Failure
Density
fd

351
459

460

Time
t

No. of
Failure
f

Cumulative
Failure
F

No. of
Survivors
S

1000

213
1

213

0.526

0.2

351

65

0.351
0.065

714

0.203
0.429

0.078
649

0.202

429

78

0.644

0.097
571

286

0.2

526

97

Reliability

0.787

0.118
474

0.238

644

118

0.213
0.143
356

Failure
Rate
Z

787

143
2

Failure
Density
fd

0.204
0.286 461

Time
t

No. of
Failure
f

Cumulative
Failure
F

No. of
Survivors
S

65
6

714

Failure
Density
fd

Failure
Rate
Z

0.065

0.2041

Reliability
R

286

462

Time
t

No. of
Failure
f

Cumulative
Failure
F

No. of
Survivors
S

65
6

714
92

Failure
Density
fd

Failure
Rate
Z

0.065

0.204

0.092

0.383

Reliability
R

286

463

Time
t

No. of
Failure
f

Cumulative
Failure
F

No. of
Survivors
S

65
6

714
806

Failure
Rate
Z

0.065

0.204

0.092

0.383

Reliability
R

286

92
7

Failure
Density
fd

194

464

Time
t

No. of
Failure
f

Cumulative
Failure
F

No. of
Survivors
S

65

714
806
138

Failure
Rate
Z

0.065

0.204

0.092

0.383

0.138

1.104

Reliability
R

286

92
7

Failure
Density
fd

194

465

Time
t

No. of
Failure
f

Cumulative
Failure
F

No. of
Survivors
S

65
6

714
806
944

0.065

0.204

0.092

0.383

0.138

1.104

Reliability
R

194

138
8

Failure
Rate
Z

286

92
7

Failure
Density
fd

56

466

Time
t

No. of
Failure
f

Cumulative
Failure
F

No. of
Survivors
S

65
6

714
806
944
52

0.065

0.204

0.092

0.383

0.138

1.104

0.052

1.733

Reliability
R

194

138
8

Failure
Rate
Z

286

92
7

Failure
Density
fd

56

467

Time
t

No. of
Failure
f

Cumulative
Failure
F

No. of
Survivors
S

65
6

714
806
944
996

0.204

0.092

0.383

0.138

1.104

0.052

1.733

56

52
9

0.065

Reliability

194

138
8

Failure
Rate
Z

286

92
7

Failure
Density
fd

468

Time
t

No. of
Failure
f

Cumulative
Failure
F

No. of
Survivors
S

65
6

714

806
944
996
4

0.204

0.092

0.383

0.138

1.104

0.052

1.733

0.004

56

52
9

0.065

Reliability

194

138
8

Failure
Rate
Z

286

92

Failure
Density
fd

469

Time
t

No. of
Failure
f

Cumulative
Failure
F

No. of
Survivors
S

65

714
806
944
996
1000

0.092

0.383

0.138

1.104

0.052

1.733

0.004

4
10

0.204

56

52
9

0.065

Reliability

194

138
8

Failure
Rate
Z

286

92
7

Failure
Density
fd

0
Sum of fd = 1.000
470

471

Time
t

No. of
Failure
f

Cumulative
Failure
F

No. of
Survivors
S

65

714

944

1.104
0.056
1.733

0.004
0.004

1000

0.383

56

0.194

0.052
996

Reliability

0.286

0.138

52

10

0.204

194

138

0.065
0.092
806

Failure
Rate
Z

286

92
7

Failure
Density
fd

Mean Failure Rate, Mean of Z = 0.647

MEAN TIME TO FAILURE

(MTTF)
(for large number of items)

473

QUESTION
A test is conducted on 1000 components used on a
wire EDM machine, as given below. The total duration of the
test is 10 hours. Calculate MTTF.
Time, hrs
Time, hrs

No. of failures

No. of surviviors

1000
213

118

97

56
52

9
429

78

194
138

526

286
92

644

351

143

No. of surviviors

65

787

No. of failures

4
4

10

474

MTTF FORMULA
If n1 is the number of specimens that failed
during the 1st hour, n2 in the 2nd hour,.nk in
the k-th hour, then the MTTF for N specimens
will be:
MTTF = (n1 +2n2 +3n3+..+knk)/N
If the time interval is t instead of one hour,
then the MTTF becomes:
MTTF = (n1 t +2n2 t +3n3 t +..+knk t)/N

MAINTAINABILITY
UNIT- 5

Definition of MAINTAINABILITY
Ability of a unit under stated conditions of use
- To be restored to a specified state in which
it can perform its required function
- Within a given period of time
- When maintenance is performed under
stated conditions and
- While using prescribed procedures and
resources

DEFINITION : Maintainability is defined as the

probability of performing a successful
repair action within a given time.
It is carried out under STATED
CONDITIONS by implementing the
RIGHT PROCEDURE .
Employee
motivation
and
activeness an important part of it.

pro-

Maintainability also includes

Operations such as
-

Monitoring
Inspecting
Adjusting
Repairing

Basic Measure of MAINTAINABILITY

MTBM
-

Mean Time Between Maintenance

MTTR
-

Mean Time To Repair

Similar to MTBF and MTTF

Human Engineering Design

Considerations include ease of disassembly,
assembly for test , check- out and inspection
,the safe and convenient use of hardware or
software and the degree , the system easily
fabricated , handled maintained and operated
with minimum hazard both to human safety
and integrity of the equipment

RELIABILITY Vs MAINTAINABILITY

Continuous reliable operation depends on

proper maintenance.

Maintenance

Improvement
maintenance
Modification
Retrofit
Redesign
Change order

Preventive
maintenance
On-condition
Self-scheduled
Machine cued
Control limits
Deficient as required

Condition,
Monitor,
Statistical
Predictive
Trend Analysis

Scheduled
Periodic
Fixed Interval
Specific time

Corrective
maintenance
Un-scheduled,
Breakdown,
Emergency,
Remedial
repair

IMPROVEMENT MAINTAINENCE
Reduction of the need for maintenance
Reliability engineering for error elimination rather than
maintenance

It improves equipment and its components so that

preventive maintenance can be carried out reliably.
Equipment with design weakness must be redesigned to
improve reliability or improving maintainability

MIG 21 BIS

MIG21 BISON

TYPES OF MAINTENANCE PROGRAMME

Corrective maintenance
1) Emergency , unscheduled

2) Trouble shooting

BREAKDOWN MAINTENANCE
It means that people wait until equipment fails
and repair it.
Such a thing could be used when the
equipment failure does not significantly affect
the operation or production or generate any
significant loss other than repair cost.
Results in loss of production due to idling of
equipment , consequently idling of labour also

PREVENTIVE MAINTENANCE

Periodic Maintenance

Predictive Maintenance

1.Time Based
2. Scheduled
Types :
Daily Maintenance
Weekly Maintenance
Monthly Maintenance
Annual Maintenance

Predictions are made of the

equipment failure
Use of Data and Statistics
Life of the equipment is determined
Condition based

Types of Maintenance Programme

Preventive maintenance ( on condition )
When equipment needs it by using human

thoughts process, electronics and sensor

technology for detecting threshold limits

Types of Maintenance Programme

Preventive maintenance ( condition monitor)

Use of statistical and probability theory for

data generation and analysis

Types of Maintenance Programme

Preventive maintenance ( Scheduled )
1) An opportunity for reducing failures which
can not be detected in advance

2) Different from internal inspection which

looks for threshold conditions

Breakdown maintenance
( or Emergency maintenance )
1) Remedial or corrective maintenance
repaired on emergency or on priority basis
2) Results in loss of production due to idling of
equipment , consequently idling of labour
also
3) Capacity reduced
4) Production costs increases because of cost of
idling of machinery and workers
5) Down time due to breakdown , failure in
delivery of orders to customers

Preventive maintenance
Planned and programmed on a regular basis
to make repairs to ensure the system not
failing during normal operation
Performing routine inspections to identify
symptoms of failure before break downs
Reduces machine down time, idle time of
workers and loss of production

Level of preventive maintenance

Maintenance cost adds no value to a
product
Maintenance cost include salaries of
maintenance crew , inventories kept for
maintenance and lost time when equipment is
down for repairs

Implementing preventive maintenance

A higher failure rate known as infant mortality
exist initially for the life of a product
The more expensive the maintenance , the
narrower must be the MTBF distribution
If the machine no more expensive to repair ,
let the machine break down and then do the
repair
Maintenance equipment history an important
part of a preventive maintenance system

Frequency of maintenance and associated costs

(level of maintenance )
Total Cost

Maintenance cost (RM)

Preventive
maintenance cost

Breakdown
maintenance
cost
Optimum (ideal level of maintenance

Preventive maintenance frequency

Implementing preventive maintenance

Allocating more money and crew to preventive
maintenance reduce the number of break-downs.
Decrease in break down maintenance costs less than
the increase in maintenance costs beyond the optimal
point
At the optimal point , total cast is minimum
Beyond this optimal point, the firm will wait for breakdowns to occur and repairing them

Down sides of preventive maintenance

The cost of inventory maintained to
compensate for down time not considered
Down time adversely affect delivery schedule,
employee morale, destroying customer
relations and future sales

Increasing repair capabilities

Well trained crew

Resources
Establish a repair plan
Authority to do material planning
Cause of break downs
Design ways to extend MTBF

Major type of losses

1. Down time due to failure
2. Down time for set up ups and adjustments
3. Speed losses due to idling & minor
stoppages
4. Speed losses due to discrepancies
5. Defect losses due to process defects
6. Defect losses due to reduced yields

Evolution of maintenance methods

1. Corrective maintenance or emergency
maintenance or break- down maintenance
2. Preventive maintenance
3. Productive maintenance or predictive
maintenance
4. Total productive maintenance

Corrective maintenance or emergency

maintenance or break- down
maintenance
Repair activity
No one knows when equipment will break down

Maintenance done after break-down

Preventive maintenance
Regularly oil and clean equipment and perform
other periodic maintenance
Improved reliability as compared to corrective
maintenance

Productive maintenance or predictive

maintenance
Through modern monitoring and analyzing
techniques such as computer
To take corrective action before actual
equipment failure

Total productive maintenance

To achieve an ambitious goal of zero break

downs

TOTAL PRODUCTIVE MAINTENANCE

TPM )

Involves the concept of reducing variability

through employee involvement and
maintenance records

A method designed to eliminate the losses

caused by break down of machines and by
identifying and attacking all causes of break
downs and system down time

Guiding principles of TPM programs

1) Regulating basic conditions
2) Adhering to proper operating procedures
3) Restoring deterioration
4) Improving weakness in design

5) Improving operation and maintenance skills

Regulating basic conditions

Basic cleaning
Basic requirements like coolents, refueling,etc

Adhering to proper operating procedures

A failure to follow operating procedures

introduce errors and variance into the process

Restoring deterioration
Effort to discover and predict deterioration in
equipment and follow repair methods to
eliminate any source of variation in the
system

Improving weakness in design

To identify and correct any defects in
equipment designs that contribute to
break- downs

Improving operation and maintenance

skills
Learning & following correct operating
procedures to prevent cause break down

Enhances the skill of both users and

maintenance workers through training

Total Productive Maintenance

1) Regular preventive maintenance ,including
housekeeping
2) Periodic pre failure replacement or overhauls
3) Intolerance for break downs or unsafe
conditions
4)

P+P = TP

Total productive maintenance

1.
2.
3.
4.
5
6
7

REQUIREMENTSTeam work
Continuous improvement
Reliability
Maximizing capacity
Reducing uncertainty within supply chain
Increasing customer service level
All the above without increasing the level of
inventory
Minimizing costs

Relevance of TPM to TQM framework

TPM the bridge between maintenance and production
1) TQM aimed at satisfying customer requirements
2) TQM sees variation in capability whereas
TPM helps maintain capability
3) TPM uses a pro active approach to products confirming to
customer requirements all the time

Relevance of TPM to TQM framework

TPM the bridge between maintenance and production
4 TPM a continuous improvement activity.
5 Strategic decision of regarding choice of equipment
6

Planning , scheduling, and control of operations depends on

process capacity.

Total Preventive Maintenance (TPM)

TPM is also known as TPM
Three main elements
1. Regular preventive maintenance , including
housekeeping
2. Periodic replacement or overhaul
3. Intolerance for break- downs

Redundancy
The existence of more than one more means for
carrying out a given function
1) Active Redundancy
2) Standby Redundancy

Active Redundancy
All redundant items operated simultaneously
instead of switching on only when a need
arises
Both A & B operative all times
A
Input

Output

Div
B
Divider

Standby Redundancy
All redundant items ( alternate means of performing
the function ) not operated until need arises
(switched on either automatically or through manual
selection only when the primary means of performing
the function fails )
A
Input

Output

SW
B
Switch

Standby

System Operational States

Up : System up and running
Down: System under repair

B2

B1

B3

Up

Down

A1

A2

A3

Mean Time To Fail (MTTF)

B2

B1

B3

Up

Down

t
A1

A2

B1 + B2 + B3

MTTF =
3

A3

Mean Time Between Failure ( MTBF)

B2

B1

B3

Up

Down

t
A1

A2

( A1 +B1 ) + ( A2 + B2 ) + (A 3A3 + B3 )

MTBF =
3

Mean Time To Repair ( MTTR )

B2

B1

B3

Up

t
Down

A1

A2

A1+ A2 +A3

MTTR =
3

A3

Redundancy
The existence of more than one more means for
carrying out a given function
1) Active Redundancy
2) Standby Redundancy

Active Redundancy
All redundant items operated simultaneously
instead of switching on only when a need
arises
Both A & B operative all times
A
Input

Output

Div
B
Divider

Standby Redundancy
All redundant items ( alternate means of performing
the function ) not operated until need arises
(switched on either automatically or through manual
selection only when the primary means of performing
the function fails )
A
Input

Output

SW
B
Switch

Standby

System Operational States

Up : System up and running
Down: System under repair

B2

B1

B3

Up

Down

A1

A2

A3

Mean Time To Fail (MTTF)

B2

B1

B3

Up

Down

t
A1

A2

B1 + B2 + B3

MTTF =
3

A3

Mean Time Between Failure ( MTBF)

B2

B1

B3

Up

Down

t
A1

A2

( A1 +B1 ) + ( A2 + B2 ) + (A 3A3 + B3 )

MTBF =
3

Mean Time To Repair ( MTTR )

B2

B1

B3

Up

t
Down

A1

A2

A1+ A2 +A3

MTTR =
3

A3

VIBRATION MONITORING
TECHNIQUES

532

VARIOUS VIBRATION MONITORING

TECHNIQUES
Performed in following 3 ways:
1. Periodic field measurement with portable
instruments.
This method provides information about
long term changes in the plant.
2. Continuous monitoring with permanent
installed instruments.
It helps to continuously monitor the
plant.

VARIOUS VIBRATION MONITORING

TECHNIQUES
Performed in following 3 ways:
3. Signature analysis.
Makes use of predictive maintenance by
using a technique called signature analysis.
Scientific collection of informative signals,
diagnosis and detection of the faults.