2012 Massachusetts Institute of Technology Learning Objectives At the end of this module, you will be able to:
Describe how quality is essential to Lean in achieving customer satisfaction
Use basic quality tools Quality Tools and Topics V7.5 - Slide 3 2012 Massachusetts Institute of Technology Hidden Costs of Non-Conformance = 2 to 3 Times Measured Costs Why Do We Care About Quality? Direct Measured Costs: Scrap/rework Service calls Warranties/concessions
Indirect/Hidden Costs: Excess inventory Overtime Non-value added steps Queues and delays Reputation/image Courtesy of Richard Lewis II. Used with permission. Quality Tools and Topics V7.5 - Slide 4 2012 Massachusetts Institute of Technology Problems with Inspection Based Quality Control Inspection does not add value to the customer it simply screens or detects (most of the time) defective products from leaving the factory. Inspection is subject to multiple errors Inspector skill and attention Measurement capability Environment (Human Factors)
Quality Tools and Topics V7.5 - Slide 5 2012 Massachusetts Institute of Technology Inspection Exercise This exercise will be in two 30 second sessions Task: Find all of the fs or Fs on a page of text Take out the Inspection Exercise from the student folder and turn it face down. On GO, circle all the fs or Fs you find On STOP, and turn over your sheet and pass the sheet to the person on your right. On GO, mark Xs all the other fs or Fs you find On STOP, count up the number of fs and Fs that are circled and the number with Xs. Quality Tools and Topics V7.5 - Slide 6 2012 Massachusetts Institute of Technology Impact of Inspector Efficiency on Escaped Quality Quality Tools and Topics V7.5 - Slide 7 2012 Massachusetts Institute of Technology Total Quality Management Total Quality Management (TQM) and Lean are related Lean Supply Chain VSMA Lean Product Development/ Lean Healthcare 7 Quality Tools Ref: Ritzman, L. P. and Krajewski, L.J., Foundations of Operations Management, Prentice Hall, Upper Saddle River NJ, 2003 Quality Tools and Topics V7.5 - Slide 8 2012 Massachusetts Institute of Technology The Seven Basic Quality Tools Flow Charts Cause and Effect Diagrams Check Sheets Histograms Pareto Charts Scatter Diagrams Control Charts Six Sigma Basics Module Cause & effect diagram from a factory floor A3 at New Balance. Photo by Earll Murman
Quality Tools and Topics V7.5 - Slide 9 2012 Massachusetts Institute of Technology Flow Charts Flow Chart examples Process maps S/W program flow Medical algorithms
Why are Flow Charts a quality tool? Visual description improves comprehension Helps assure process steps are done in the right sequence Ties outputs to inputs Assists with data collection Photo by Earll Murman
Process map for pre lean treatment of Acute Myocardial Infarction (aka heart attack) Quality Tools and Topics V7.5 - Slide 10 2012 Massachusetts Institute of Technology Measurements Personnel Materials Methods Environment Machines Cause and Effect Diagram Also called Ishikawa or Fishbone diagram Effect or problem Primary Cause Primary Cause Secondary Cause Suggested major categories A root cause analysis tool, often supported by 5 Whys Quality Tools and Topics V7.5 - Slide 11 2012 Massachusetts Institute of Technology Example Cause and Effect Diagram Source: Institute for Healthcare Improvement, Cause and Effect Diagram (IHI Tool). Courtesy of Institute for Healthcare Improvement. Used with permission. Quality Tools and Topics V7.5 - Slide 12 2012 Massachusetts Institute of Technology Check Sheets A structured tool for collecting data
A purely hypothetical example! Quality Tools and Topics V7.5 - Slide 13 2012 Massachusetts Institute of Technology Histograms Shows Frequency of occurrence Frequency distribution: normal, random, 1 4 4 6 7 6 2 0 1 2 3 4 5 6 7 8 18 21 24 27 30 33 36 F r e q u e n c y
Number of "F's" Inspection Results Useful to see The spread of a distribution Changes over time Quantitative inputs/outputs Comparison to customer requirements Quality Tools and Topics V7.5 - Slide 14 2012 Massachusetts Institute of Technology M&M Exercise Open your bag of M&Ms dont eat them yet! Count the number of M&Ms in your bag by color. Fill in your data on the Check Sheet for your table. Contribute table data when asked by instructor. Modification of an exercise suggested by Raytheon Corporation What product attribute does the Mars Company control variation of to deliver a quality to its customers?
Image: Wikimedia. Public Domain. Quality Tools and Topics V7.5 - Slide 15 2012 Massachusetts Institute of Technology Class Poll What M&M attribute to you think Mars Company uses quality principles to control variation of? Total M&Ms in a bag? Color distribution? Something else I dont know Hold up the colored 3 x 5 card of your choice Quality Tools and Topics V7.5 - Slide 16 2012 Massachusetts Institute of Technology Pareto Chart of Preventable Causes Leading to ED Admissions Courtesy of Faten Mitchell, Quality Improvement Advisor, Health Quality Ontario. Used with permission. Source: Faten Mitchell, Quality Improvement Advisor, Health Quality Ontario. Quality Tools and Topics V7.5 - Slide 17 2012 Massachusetts Institute of Technology Pareto Example - Discrepancies During Satellite System Integration & Test %
o f
D i s c r e p a n c i e s
Root Cause Category Root Cause of Discrepancies for 229 Satellites tested from 1970-1999 O p e r a t o r /
E m p l o y e e
T e s t
E q u i p m e n t
S o f t w a r e
26% 18% 24% 6% 12% 30% 25% 20% 15% 10% 5% N o
A n o m a l y
D e s i g n
2% 3% 8% O t h e r
U n k n o w n
M a t e r i a l
Satellite Causes Non-Satellite Causes Source: Weigel A. and Warmkessel, J., Seeing The Spacecraft Testing Value Stream, LAI Executive Board Briefing, June 2000 Ref: Weigel, A., Spacecraft System Level Test Discrepancies: Characterizing Distributions and Costs, MIT SM Thesis, May 2000 Quality Tools and Topics V7.5 - Slide 18 2012 Massachusetts Institute of Technology Scatter Diagrams Plots of (x,y) pairs of numerical data Can show whether a correlation exists Useful starting point for root cause analysis Coordination vs. Performance - Hospitals 0.65 0.7 0.75 0.8 0.85 -0.4 -0.2 0 0.2 0.4 Patient Care Performance Index R e l a t i o n a l
C o o r d i n a t i o n Uncorrelated data Correlated data Quality Tools and Topics V7.5 - Slide 19 2012 Massachusetts Institute of Technology Summing Up Inspection is an ineffective way to produce high quality products and services Total Quality Management and Lean Thinking are closely related Lean Thinking and TQM both utilized simple, structured, quantitative and qualitative tools to achieve quality There are seven basic quality tools But remember capable people are the most important factor in achieving quality Quality Tools and Topics V7.5 - Slide 20 2012 Massachusetts Institute of Technology An Example of Focus on Quality: Floor Beams for Commercial Aircraft 747 777 Assembly Strategy Tooling Toolless Hard tools 28 0 Soft tools 2/part # 1/part # Major assembly steps 10 5 Assembly hrs 100% 47% Process capability C pk <1 (3.0 ) C pk >1.5 (4.5 ) Number of shims 18 0 Refs:J.P. Koonmen, Implementing Precision Assembly Techniques in the Commercial Aircraft Industry, Masters thesis, MIT (1994), and J.C.Hopps, Lean Manufacturing Practices in the Defense Aircraft Industry, Masters Thesis, MIT (1994) Courtesy of Boeing. Used with permission. Quality Tools and Topics V7.5 - Slide 21 2012 Massachusetts Institute of Technology Reading List Deming, E., Out of Crisis, The MIT Press, Cambridge, MA, 2000 Hopp, W.J. and Spearman, M.L., Factory Physics, 3 rd Edition, McGraw-Hill/Irwin, 2007 Juran, J.M., Juran on Quality by Design, The Free Press, New York, 1992 Nelson, E.C., Batalden, P.B., Godfrey, M. M., Quality By Design: A Clinical Micosystems Approach, John Wiley and Sons, New York, 2007 Ritzman, L.P. and Krajewski, L.J., Foundations of Operations Management, Prentice Hall, Upper Saddle Brook NJ, 2003 Tague, N.R., The Quality Tool Box, Second Edition, ASQ Quality Press, 2004 Quality Tools and Topics V7.5 - Slide 22 2012 Massachusetts Institute of Technology Acknowledgements Contributors Dick Lewis Rolls-Royce (ret.) Jose Macedo Cal Poly, San Luis Obispo Hugh McManus Metis Design Earll Murman MIT Steve Shade Purdue University Alexis Stanke MIT Collaborators Tom Callarman Arizona State University Phil Farrington University of Alabama in Huntsville Al Haggerty MIT, Boeing (ret.) Jan Martinson Boeing, IDS Faten Mitchell Health Quality Ontario Bo Oppenheim Loyola Marymount University Sue Siferd ASU Barrett Thomas University of Iowa MIT OpenCourseWare http://ocw.mit.edu 16.660J / ESD.62J / 16.853 Introduction to Lean Six Sigma Methods IAP 2012
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