Chapter 2 Introduction to Statistical Quality Control, 7th Edition by Douglas C. Montgomery.

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Copyright (c) 2012 John Wiley & Sons, Inc.
 Learning Objectives

Chapter 2 Introduction to Statistical Quality Control, 7th Edition by Douglas C. Montgomery. 2

Copyright (c) 2012 John Wiley & Sons, Inc.
 DMAIC
• DMAIC is a structure problem-solving technique
widely used in quality and process improvement;
consisting of the following steps:
–
Define
–
Measure
–
Analyze
–
Improve
–
Control
• DMAIC is usually associated with six sigma, but it can be
used with any business or process improvement effort

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 The DMAIC Process
• Define
– To identify the problem, the project to better serve
customers and for a better business
• Measure
– To evaluate and understand the current state of the
process
• Analyze
– To use data and information from the measure step
to determine the cause-and-effect relationship
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• Improve
– To make changes to improve the system
performance based on the results in the Measure
and Analyze steps
• Control
– To make sure that the improvement is sustainable
• The whole DMAIC procedure may start over
again as new conditions, requests, etc.,
emerge.
Chapter 2 Introduction to Statistical Quality Control, 7th Edition by Douglas C. Montgomery. 5
Copyright (c) 2012 John Wiley & Sons, Inc.
Chapter 2 Introduction to Statistical Quality Control, 7th Edition by Douglas C. Montgomery. 6
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Chapter 2 Introduction to Statistical Quality Control, 7th Edition by Douglas C. Montgomery. 7
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 Projects
• Essential part of DMAIC
• Breakthrough opportunity
• Financial systems integration
• Value opportunity of a project must be clear
• Project selection
• Project management

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Copyright (c) 2012 John Wiley & Sons, Inc.
 If the improvement goal is 50%, then x = 11 years, and if it’s
75% then x = 5 years.
Must focus on projects that have high impact

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 The Define Step
• The objective of the Define step is to identify
the project opportunity and to verify or
validate that it represents legitimate
breakthrough potential.
• Graphic aids are also useful in the Define step.
E.g. Process maps and flow charts, value
stream maps (see Chap.5), and the SIPOC
diagram…
 (SIPOC stands for Suppliers, Input, Process, Output, and Customers)

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 The Project Charter
One of the first items that must be completed in the define step is
a project charter. This is a short document (typically about up to
about two pages) that contains a description of the project and its
scope, the start and the anticipated completion dates, an initial
description of both primary and secondary metrics that will be
used to measure success and how those metrics align with
business unit and corporate goals, the potential benefits to the
customer, the potential financial benefits to the organization,
milestones that should be accomplished during the project, the
team members and their roles, and any additional resources that
are likely to be needed to complete the project.
(Next display shows a project charter for a customer product return process. )
Chapter 2 Introduction to Statistical Quality Control, 7th Edition by Douglas C. Montgomery. 11
Copyright (c) 2012 John Wiley & Sons, Inc.
 2.2 The Define Step
(A Project Charter for a customer returns process)

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Copyright (c) 2012 John Wiley & Sons, Inc.
 SIPOC diagrams give a simple overview of a process and are useful for
understanding and visualizing basic process elements.

A process map or value stream map may also be

prepared. These should be completed by at least
the end of the Measure step.

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 Tollgates

• There are tollgates between each of the major

steps in DMAIC. At a tollgate, a project team
presents its work to managers and “owners” of
the process.

Chapter 2 Introduction to Statistical Quality Control, 7th Edition by Douglas C. Montgomery. 14

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 The Define Tollgate

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 2.3 The Measure Step
• Purpose is to evaluate and determine the present
process state
• Identify key process input variables (KPIV) and key
process output variables (KPOV)
• Data – from historical records, from sampling, from
observational studies
• Histograms, box plots, Pareto charts, scatter
diagrams, stem-and-leaf diagrams may all be useful
• In some businesses, the measurement system must be
developed
• Measurement systems capability may be important

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 The Measure Tollgate

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 2.4 The Analyze Step
• Determine cause-and-effect relationships
• Sources of variability – common cause versus
assignable cause
• Tools – control charts, hypothesis testing,
confidence intervals, regression models,
failure modes and effects analysis
• Discrete event simulation

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 The Analyze Tollgate

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 2.5 The Improve Step

In the Improve step, the team turns to creative

thinking about the specific changes that can be
made in the process and other things that can
be done to have the desired impact on process
performance.

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Copyright (c) 2012 John Wiley & Sons, Inc.
 The Improve Step
• Process redesign to reduce bottlenecks
• Mistake-proofing (i.e. designing an operation so that it
can be done only the right way.)
• Statistical tools – particularly designed
experiments
• DOX can be applied to either the physical
process or a computer model of the process
• Pilot test the solution to confirm that it will
solve the problem
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Copyright (c) 2012 John Wiley & Sons, Inc.
 The Improve Tollgate

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Copyright (c) 2012 John Wiley & Sons, Inc.
 2.6 The Control Step
• The objectives of the Control step are to complete all
remaining work on the project and to hand off the
improved process to the process owner along with a
process control plan and other necessary procedures
to ensure that the gains from the project will be
institutionalized.
• That is, the goal is to ensure that the gains are of help
in the process and, if possible, the improvements will
be implemented in other similar processes in the
business.
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Copyright (c) 2012 John Wiley & Sons, Inc.
 The Control Step
• Complete all remaining work on project
• Provide the process owner with a process
control plan
• Training documents (if appropriate) should be
provided
• Methods and metrics for future audits
• Transition plan to the new process might
include a validation step
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Copyright (c) 2012 John Wiley & Sons, Inc.
 The Control Tollgate

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 Chapter Case Studies*

• Litigation documents
• Improving on-time delivery
• Improving service quality in a bank

*Students should study these case studies from the text

book pp. 57-62.

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Copyright (c) 2012 John Wiley & Sons, Inc.
 Important Terms and Concepts

Chapter 2 Introduction to Statistical Quality Control, 7th Edition by Douglas C. Montgomery. 27

Copyright (c) 2012 John Wiley & Sons, Inc.
 Learning Objectives

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Copyright (c) 2012 John Wiley & Sons, Inc.