Lecture Operations and supply chain management: The Core (3/e) – Chapter 10: Quality management and six sigma

Lecture Operations and supply chain management - Chapter 10: Quality management and six sigma. The main goals of this chapter are to: Understand total quality management. discuss how quality is measured and the different dimensions of quality. explain the six sigma quality philosophy,...

Quality Management and Six Sigma

Learning Objectives

1. Understand total quality management.

2. Discuss how quality is measured and the

different dimensions of quality.

3. Explain the Six Sigma quality philosophy.

4. Explain the define, measure, analyze,

improve, and control (DMAIC) quality

improvement process.

5. Show how to calculate the capability of a

process.

6. Describe how processes are monitored with

control charts.

7. Understand acceptance sampling concepts.

Total Quality Management

(TQM)

entire organization so that it excels on all

dimensions of products and services that are important to the customer

1 Careful design of the product or service

2 Ensuring that the organization’s systems can

consistently produce the design

Quality Specifications and Quality Costs

 Design quality

- inherent

value of the

product in the

marketplace

 Conformance

quality -

degree to

which the

product or

service

design

specifications

are met

Costs of Quality

Six Sigma

use to eliminate defects in their products and processes

that lead to product defects

more than four defects per million units

Six Sigma Methodology

DMAIC Cycle

Six Sigma Analytical Tools

Statistical Quality Control

(SQC)

quantitative

aspects of

quality

management

usually

exhibit some

variation in

their output

Process Capability

produce a good or deliver a service with a low probability of generating a defect

considered acceptable by the designer or

customer

process is able to maintain with a high degree

Process Control Procedures

 Concerned with monitoring quality while the product or

service is being produced

 Statistical process control - testing a sample of output

to determine if the process is producing items within a

preselected range

 Attributes - quality characteristics that are classified as

either conforming or not conforming

 Variable - characteristics that are measured using an

actual value

Excel: Statistical Process Control

Creating p Charts

Acceptance Sampling

determine what percentage of the products

conform to specifications

 Determine quality level

 Ensure quality is within predetermined level

Acceptance Sampling

 Risks of

accepting “bad”

lots and rejecting

“good” lots

 Added planning

and

documentation

 Sample provides

less information

 Economy

 Less handling damage

 Fewer inspectors

 Upgrading of the inspection job

 Applicability to destructive testing

 Entire lot rejection (motivation for improvement)