World Class Management Techniques

Production & Industrial Management II (TE Prod S/W) Unit V
Deming’s Approach
Quality Principles and
Philosophies
Production Engg. Dept., AISSMS COE, PUNE By: N. G. Shekapure

Deming’s Approach
Dr. W. E. Deming
• Born 1900
• Graduated in Electrical Engineering
• PhD in mathematical physics
• Main architect for introducing Total Quality into Japan
• Became statistician for US govt.
• Sent by US govt. to Japan after WWII to advise on
Japanese survey.
Production Engg. Dept., AISSMS COE, PUNE
• Born 1900
• Graduated in Electrical Engineering
• PhD in mathematical physics
• Main architect for introducing Total Quality into Japan
• Became statistician for US govt.
• Sent by US govt. to Japan after WWII to advise on
Japanese survey.
By: N. G. Shekapure

Deming’s Approach
Deming’s Philosophy
• Quality is about people, not products
• Suggested quality concept for designing product
• Management need to understand nature of variation
and how to interpret statistical data
• Promoted importance of leadership
• 85% of production faults responsibility of management,
not workers
• Specified 14-point management philosophy
• Quality is about people, not products
• Suggested quality concept for designing product
• Management need to understand nature of variation
and how to interpret statistical data
• Promoted importance of leadership
• 85% of production faults responsibility of management,
not workers
• Specified 14-point management philosophy
By: N. G. Shekapure

Deming’s Approach
Product Development Cycle
1. Design the product.
2. Make it.
3. Try to sell it.
4. Do consumer research and test the product’s uses.
5. Redesign – start the cycle all over again.
1. Design the product.
2. Make it.
3. Try to sell it.
4. Do consumer research and test the product’s uses.
5. Redesign – start the cycle all over again.
By: N. G. Shekapure

Deming’s Approach
Quality
Costs Productivity
Quality Approach in Context
Prices Market Share
Stay in business
By: N. G. Shekapure

Deming’s Approach
Deming’s 14-point Management
Philosophy

Deming’s Approach
1. Create constancy of purpose for continual
improvement of products
Create constancy of purpose for improvement of
systems, products and services, with the aim to
become excellent, satisfy customers, and provide
jobs. Reduced defects and cost of development.
1. Create constancy of purpose for continual
improvement of products
Create constancy of purpose for improvement of
systems, products and services, with the aim to
become excellent, satisfy customers, and provide
jobs. Reduced defects and cost of development.
By: N. G. Shekapure

Deming’s Approach
2. Adopt a commitment to seek continual
improvements
Constantly and forever improve the system development
processes, to improve quality and productivity, and thus
constantly decrease the time and cost of systems.
Improving quality is not a one time effort.
2. Adopt a commitment to seek continual
improvements
Constantly and forever improve the system development
processes, to improve quality and productivity, and thus
constantly decrease the time and cost of systems.
Improving quality is not a one time effort.
By: N. G. Shekapure

Deming’s Approach
3. Switch from defect detection to defect
prevention
Close down dependencies on mass inspection (especially
testing) to achieve quality. Reduce the need for
inspection on a mass basis by building quality into the
system in the first place. Inspection is not the answer. It
is too late and unreliable – it does not produce quality.
Close down dependencies on mass inspection (especially
testing) to achieve quality. Reduce the need for
inspection on a mass basis by building quality into the
system in the first place. Inspection is not the answer. It
is too late and unreliable – it does not produce quality.
By: N. G. Shekapure

Deming’s Approach
4. In dealing with suppliers one should end the
practice of awarding business on price. Move
towards quality of product, reliability of
delivery and willingness to cooperate and
improve. Build partnerships.
Minimize total cost. Move towards a single supplier for any
one item or service, making them a partner in a long-
term relationship of loyalty and trust.
4. In dealing with suppliers one should end the
practice of awarding business on price. Move
towards quality of product, reliability of
delivery and willingness to cooperate and
improve. Build partnerships.
Minimize total cost. Move towards a single supplier for any
one item or service, making them a partner in a long-
term relationship of loyalty and trust.
By: N. G. Shekapure

Deming’s Approach
5. Improvement is not confined to products and
their direct processes but to all supporting
services and activities
All functions in an organization need to become quality
conscious to deliver a quality product.
5. Improvement is not confined to products and
their direct processes but to all supporting
services and activities
All functions in an organization need to become quality
conscious to deliver a quality product.
By: N. G. Shekapure

Deming’s Approach
6. Train a modern way.
Institute training on the job. Everyone must be trained, as
knowledge is essential for improvement.
6. Train a modern way.
Institute training on the job. Everyone must be trained, as
knowledge is essential for improvement.
By: N. G. Shekapure

Deming’s Approach
7. Supervision must change from chasing, to
coaching and support.
Institute leadership. It is a manger’s job to help their people
and their systems to do a better job.
7. Supervision must change from chasing, to
coaching and support.
Institute leadership. It is a manger’s job to help their people
and their systems to do a better job.
By: N. G. Shekapure

Deming’s Approach
8. Drive out fear and encourage two-way
communication.
Drive out fear, so that everyone may work effectively.
Management should be held responsible for the faults of
the organization and environment.

Deming’s Approach
9. Remove barriers between departments
Break down barriers between areas. People must work as a
team. They must foresee and prevent problems during
systems development and use.
9. Remove barriers between departments
Break down barriers between areas. People must work as a
team. They must foresee and prevent problems during
systems development and use.
By: N. G. Shekapure

Deming’s Approach
10. Do not have unrealistic targets
Set realistic targets. Do not place people under unnecessary
pressure by asking them to do things which are not
achievable. Eliminate slogans, exhortations, and targets that
ask for zero defects, and new levels of productivity. Slogans
do not build quality systems.
10. Do not have unrealistic targets
Set realistic targets. Do not place people under unnecessary
pressure by asking them to do things which are not
achievable. Eliminate slogans, exhortations, and targets that
ask for zero defects, and new levels of productivity. Slogans
do not build quality systems.
By: N. G. Shekapure

Deming’s Approach
11. Eliminate quotas and numerical targets
Eliminate numerical quotas and goals. Substitute it with leadership.
Quotas and goals (such as schedule) address numbers - not
quality and methods.

Deming’s Approach
12. Remove barriers that prevent employees
having pride in the work that they perform
Remove barriers to pride of workmanship. The responsibility of
project managers must change from schedules to quality.
12. Remove barriers that prevent employees
having pride in the work that they perform
Remove barriers to pride of workmanship. The responsibility of
project managers must change from schedules to quality.
By: N. G. Shekapure

Deming’s Approach
13. Encourage education and self-improvement for
everyone[
Institute and vigorous program of education and self-
improvement for everyone. There must be a continuing
commitment to training and educating software managers and
professional staff.
13. Encourage education and self-improvement for
everyone[
Institute and vigorous program of education and self-
improvement for everyone. There must be a continuing
commitment to training and educating software managers and
professional staff.
By: N. G. Shekapure

Deming’s Approach
14. Publish top management’s permanent
commitment to continuous improvement
of quality and productivity

Deming’s Approach
PDCA / PDSA cycle
The PDCA cycle is also known as the Deming Cycle,
or as the Deming Wheel or as the Continuous
Improvement Spiral.

Deming’s Approach
The Plan stage is where it all
begins. It is where you design
or revise business process
components to improve
results. Prior to implementing
a change you must
understand both the nature of
your current problem and
how your process failed to
meet a customer
requirement.
The Do stage is the
implementation of the
change. Identify the people
affected by the change and
inform them that you’re
adapting their process due to
customer complaints,
multiple failures, continual
improvement opportunity,
whatever the reason, it is
important to let them know
about the change.
The Study stage is where
you’ll perform analysis of
the data you collected
during the Do stage.
Assess the measurements
and report the results to
decision makers
Although act has the same
meaning with do, in this
stage 'Act' is meant to
apply actions to the
outcome for necessary
improvement, in other
words 'Act' means
'Improve'.
The Plan stage is where it all
begins. It is where you design
or revise business process
components to improve
results. Prior to implementing
a change you must
understand both the nature of
your current problem and
how your process failed to
meet a customer
requirement.
The Do stage is the
implementation of the
change. Identify the people
affected by the change and
inform them that you’re
adapting their process due to
customer complaints,
multiple failures, continual
improvement opportunity,
whatever the reason, it is
important to let them know
about the change.
The Study stage is where
you’ll perform analysis of
the data you collected
during the Do stage.
Assess the measurements
and report the results to
decision makers
Although act has the same
meaning with do, in this
stage 'Act' is meant to
apply actions to the
outcome for necessary
improvement, in other
words 'Act' means
'Improve'.
By: N. G. Shekapure

Not in Syllabus
Chitale Approach
Approach :
Great Lines ----
“Change cannot be created for you every time.
You must strive & Bring the change Yourself”
Chitale Mithaiwale, Pune
“Change cannot be created for you every time.
You must strive & Bring the change Yourself”
Said By: - Tukaram of Chitale Mithaiwale, Pune
Meaning – Kripaya Sutte Paise Dya
By: N. G. Shekapure

Juran’s Approach
Joseph M. Juran
Joseph Moses Juran was a
Romanian - born American
management consultant and
engineer. He is principally
remembered as an
evangelist for quality and
quality management, having
written several influential
books on those subjects.
Joseph Moses Juran was a
Romanian - born American
management consultant and
engineer. He is principally
remembered as an
evangelist for quality and
quality management, having
written several influential
books on those subjects.
By: N. G. Shekapure

Juran’s 10-point Program
1. Identify customers
2. Determine customer needs
3. Translate
4. Establishment units of measurement
5. Establish measurements
6. Develop product
7. Optimize product design
8. Develop process
9. Optimize process capability
10. Transfer
Juran’s Approach
1. Identify customers
2. Determine customer needs
3. Translate
4. Establishment units of measurement
5. Establish measurements
6. Develop product
7. Optimize product design
8. Develop process
9. Optimize process capability
10. Transfer
By: N. G. Shekapure

Society to conserve water.
Water
My Seven Year old Daughter Decided not to play Holi
with water because………Thousands of people have no
water to drink. Farmer suicides are rampant due to
the drought conditions.
Even without water the festival can be
great fun…………………….
By: N. G. Shekapure

7 QC Tools
7 Quality Control Tools
• Paroto Chart
• Histrogram
• Process Flow Diagram
• Check Sheet
• Check Sheet
• Scatter Diagram
• Control Chart
• Cause & Effect diagram
By: N. G. Shekapure

Pareto Chart Defined
Pareto charts are used to identify and prioritize
problems to be solved.
They are actually histograms aided by the 80/20
rule adapted by Joseph Juran.
Remember the 80/20 rule states that approximately
80% of the problems are created by approximately 20%
of the causes.
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• Paroto Chart
Pareto Chart Defined
Pareto charts are used to identify and prioritize
problems to be solved.
They are actually histograms aided by the 80/20
rule adapted by Joseph Juran.
Remember the 80/20 rule states that approximately
80% of the problems are created by approximately 20%
of the causes.
By: N. G. Shekapure

First, information must be selected based on
types or classifications of defects that occur as a
result of a process.
The data must be collected and classified into
categories.
Then a histogram or frequency chart is
constructed showing the number of occurrences.
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Constructing a Pareto Chart
First, information must be selected based on
types or classifications of defects that occur as a
result of a process.
The data must be collected and classified into
categories.
Then a histogram or frequency chart is
constructed showing the number of occurrences.
By: N. G. Shekapure

7 QC Tools
An Example of How a Pareto Chart Can Be Used
Pareto Charts are used when products are suffering
from different defects but the defects are occurring at
a different frequency, or only a few account for most
of the defects present, or different defects incur
different costs. What we see from that is a product
line may experience a range of defects. The
manufacturer could concentrate on reducing the
defects which make up a bigger percentage of all the
defects or focus on eliminating the defect that causes
monetary loss.
Pareto Charts are used when products are suffering
from different defects but the defects are occurring at
a different frequency, or only a few account for most
of the defects present, or different defects incur
different costs. What we see from that is a product
line may experience a range of defects. The
manufacturer could concentrate on reducing the
defects which make up a bigger percentage of all the
defects or focus on eliminating the defect that causes
monetary loss.
By: N. G. Shekapure

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• Paroto Chart

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• Histrogram
Histogram Defined
A histogram is a bar graph that shows frequency
data.
Histograms provide the easiest way to evaluate
the distribution of data.
Histogram Defined
A histogram is a bar graph that shows frequency
data.
Histograms provide the easiest way to evaluate
the distribution of data.
By: N. G. Shekapure

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Collect data and sort it into categories.
Then label the data as the independent set or the dependent
set.
The characteristic you grouped the data by would be the
independent variable.
The frequency of that set would be the dependent variable.
Each mark on either axis should be in equal increments.
For each category, find the related frequency and make the
horizontal marks to show that frequency.
Creating a Histogram
Collect data and sort it into categories.
Then label the data as the independent set or the dependent
set.
The characteristic you grouped the data by would be the
independent variable.
The frequency of that set would be the dependent variable.
Each mark on either axis should be in equal increments.
For each category, find the related frequency and make the
horizontal marks to show that frequency.
By: N. G. Shekapure

7 QC Tools
Histograms can be used to determine distribution
of sales.
Say for instance a company wanted to measure
the revenues of other companies and wanted to
compare numbers.
Examples of How Histograms Can Be Used
Histograms can be used to determine distribution
of sales.
Say for instance a company wanted to measure
the revenues of other companies and wanted to
compare numbers.
By: N. G. Shekapure

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Percentfromeachcause 20
30
40
50
60
70
(64)
Histrogram
Percentfromeachcause
Causes of poor quality
0
10
20
(13)
(10)
(6)
(3) (2) (2)
By: N. G. Shekapure

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Histrogram

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• Process Flow Diagram
Flow Charts
Graphical description of how work is done.
Used to describe processes that are to be improved.
Graphical description of how work is done.
Used to describe processes that are to be improved.
By: N. G. Shekapure

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Flow Chart

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Process Chart Symbols
Operations
Inspection
Transportation
Transportation
Delay
Storage

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Flow Diagram

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Check Sheet

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Check List

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Scatter Diagram
What it is:
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.
Most often a scatter diagram is used to prove or disprove cause-
and-effect relationships. While the diagram shows relationships, it
does not by itself prove that one variable causes the other. In
addition to showing possible causeand- effect relationships, a
scatter diagram can show that two variables are from a common
cause that is unknown or that one variable can be used as a
surrogate for the other.
What it is:
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.
Most often a scatter diagram is used to prove or disprove cause-
and-effect relationships. While the diagram shows relationships, it
does not by itself prove that one variable causes the other. In
addition to showing possible causeand- effect relationships, a
scatter diagram can show that two variables are from a common
cause that is unknown or that one variable can be used as a
surrogate for the other.
By: N. G. Shekapure

7 QC ToolsScatter Diagram
Interpret the data.
Scatter diagrams will generally show one of six possible correlations between the variables:
Strong Positive Correlation
The value of Y clearly increases as the value of X increases.
Strong Negative Correlation
The value of Y clearly decreases as the value of X increases.
Weak Positive Correlation
The value of Y increases slightly as the value of X increases.
Weak Negative Correlation
The value of Y decreases slightly as the value of X increases.
Complex Correlation
The Y seems to be related to X, but the relationship is not
easily determined.
No Correlation
There is no connection between the two variables.
Interpret the data.
Scatter diagrams will generally show one of six possible correlations between the variables:
Strong Positive Correlation
The value of Y clearly increases as the value of X increases.
Strong Negative Correlation
The value of Y clearly decreases as the value of X increases.
Weak Positive Correlation
The value of Y increases slightly as the value of X increases.
Weak Negative Correlation
The value of Y decreases slightly as the value of X increases.
Complex Correlation
The Y seems to be related to X, but the relationship is not
easily determined.
No Correlation
There is no connection between the two variables.
By: N. G. Shekapure

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Scatter Diagram

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Control Chart
The control chart is a graph used to study how a process changes
over time with data plotted in time order.

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Basic Conceptions
What is a control chart?
The control chart is a graph used to study how a process changes over time.
Data are plotted in time order.
A control chart always has a central line for the average, an upper line for the
upper control limit and a lower line for the lower control limit.
Lines are determined from historical data. By comparing current data to these
lines, you can draw conclusions about whether the process variation is
consistent (in control) or is unpredictable (out of control, affected by special
causes of variation).
What is a control chart?
The control chart is a graph used to study how a process changes over time.
Data are plotted in time order.
A control chart always has a central line for the average, an upper line for the
upper control limit and a lower line for the lower control limit.
Lines are determined from historical data. By comparing current data to these
lines, you can draw conclusions about whether the process variation is
consistent (in control) or is unpredictable (out of control, affected by special
causes of variation).
By: N. G. Shekapure

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When to use a control chart?
Controlling ongoing processes by finding and correcting
problems as they occur.
Predicting the expected range of outcomes from a process.
Determining whether a process is stable (in statistical
control).
Analyzing patterns of process variation from special causes
(non-routine events) or common causes (built into the
process).
Determining whether the quality improvement project
should aim to prevent specific problems or to make
fundamental changes to the process.
When to use a control chart?
Controlling ongoing processes by finding and correcting
problems as they occur.
Predicting the expected range of outcomes from a process.
Determining whether a process is stable (in statistical
control).
Analyzing patterns of process variation from special causes
(non-routine events) or common causes (built into the
process).
Determining whether the quality improvement project
should aim to prevent specific problems or to make
fundamental changes to the process.
By: N. G. Shekapure

7 QC Tools
Control Chart Basic Procedure
Choose the appropriate control chart for the data.
Determine the appropriate time period for collecting and
plotting data.
Collect data, construct the chart and analyze the data.
Look for “out-of-control signals” on the control chart. When
one is identified, mark it on the chart and investigate the
cause. Document how you investigated, what you learned,
the cause and how it was corrected.
Continue to plot data as they are generated. As each new
data point is plotted, check for new out-of-control signals.
Control Chart Basic Procedure
Choose the appropriate control chart for the data.
Determine the appropriate time period for collecting and
plotting data.
Collect data, construct the chart and analyze the data.
Look for “out-of-control signals” on the control chart. When
one is identified, mark it on the chart and investigate the
cause. Document how you investigated, what you learned,
the cause and how it was corrected.
Continue to plot data as they are generated. As each new
data point is plotted, check for new out-of-control signals.
By: N. G. Shekapure

7 QC Tools
Basic components of control charts
A centerline, usually the mathematical average of all
the samples plotted;
Lower and upper control limits defining the
constraints of common cause variations;
Performance data plotted over time.
Basic components of control charts
A centerline, usually the mathematical average of all
the samples plotted;
Lower and upper control limits defining the
constraints of common cause variations;
Performance data plotted over time.
By: N. G. Shekapure

7 QC Tools
General model for a control chart
UCL = Ẍ + kσ
CL = Ẍ
LCL = Ẍ – kσ
where Ẍ is the mean of the variable, and σ is the standard deviation of the
variable.
UCL=upper control limit; LCL = lower control limit;
CL = center line.
where k is the distance of the control limits from the center line, expressed in
terms of standard deviation units. When k
is set to 3, we speak of 3-sigma control charts. Historically, k = 3 has become an
accepted standard in industry.
General model for a control chart
UCL = Ẍ + kσ
CL = Ẍ
LCL = Ẍ – kσ
where Ẍ is the mean of the variable, and σ is the standard deviation of the
variable.
UCL=upper control limit; LCL = lower control limit;
CL = center line.
where k is the distance of the control limits from the center line, expressed in
terms of standard deviation units. When k
is set to 3, we speak of 3-sigma control charts. Historically, k = 3 has become an
accepted standard in industry.
By: N. G. Shekapure

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Types of the control charts
Variables control charts
Variable data are measured on a continuous scale.
For example: time, weight, distance or temperature can be
measured in fractions or decimals.
Applied to data with continuous distribution
Attributes control charts
Attribute data are counted and cannot have fractions or
decimals. Attribute data arise when you are determining only the
presence or absence of something: success or failure, accept or
reject, correct or not correct.
For example, a report can have four errors or five errors, but it
cannot have four and a half errors.
Applied to data following discrete distribution
Types of the control charts
Variable data are measured on a continuous scale.
For example: time, weight, distance or temperature can be
measured in fractions or decimals.
Applied to data with continuous distribution
Attribute data are counted and cannot have fractions or
decimals. Attribute data arise when you are determining only the
presence or absence of something: success or failure, accept or
reject, correct or not correct.
For example, a report can have four errors or five errors, but it
cannot have four and a half errors.
Applied to data following discrete distribution
By: N. G. Shekapure

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• X-bar and R chart (also called averages and range chart)
• X-bar and s chart
• Moving average–Moving range chart (also called MA–MR chart)
• Target charts (also called difference charts, deviation charts and
nominal charts)
• CUSUM (cumulative sum chart)
• EWMA (exponentially weighted moving average chart)
multivariate chart
• X-bar and R chart (also called averages and range chart)
• X-bar and s chart
• Moving average–Moving range chart (also called MA–MR chart)
• Target charts (also called difference charts, deviation charts and
nominal charts)
• CUSUM (cumulative sum chart)
• EWMA (exponentially weighted moving average chart)
multivariate chart
By: N. G. Shekapure

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p chart (Proportion chart)
np chart
c chart (Count chart)
u chart
p chart (Proportion chart)
np chart
c chart (Count chart)
u chart
By: N. G. Shekapure

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Example: R Control Chart
In the manufacturing of a certain machine part, the percentage of aluminum in the finished part is
especially critical. For each production day, the aluminum percentage of five parts is measured. The
table below consists of the average aluminum percentage of ten consecutive production days, along
with the minimum and maximum sample values (aluminum percentage) for each day. The sum of the
10 samples means (below) is 258.8.
Day 1 2 3 4 5 6 7 8 9 10
Sample Mean 25.2 26.0 25.2 25.2 26.0 25.6 26.0 26.0 24.6 29.0
Maximum Value 26.6 27.6 27.7 27.4 27.6 27.4 27.5 27.9 26.8 31.6
Minimum Value 23.5 24.4 24.6 23.2 23.3 23.3 24.1 23.8 23.5 27.4
By: N. G. Shekapure

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Show the relationships between a problem and its
possible causes.
Developed by Kaoru Ishikawa (1953)
Also known as …
 Fishbone diagrams
 Ishikawa diagrams
Cause & Effect diagram
Show the relationships between a problem and its
possible causes.
Developed by Kaoru Ishikawa (1953)
Also known as …
 Fishbone diagrams
 Ishikawa diagrams
By: N. G. Shekapure

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Problem/
Desired
Improvement
Main Category
Cause & Effect Diagram
Problem/
Desired
Improvement
Cause
Root Cause
By: N. G. Shekapure

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What is a Cause and Effect Diagram?
• A visual tool to identify, explore and graphically
display, in increasing detail, all of the suspected
possible causes related to a problem or condition to
discover its root causes.
• Not a quantitative tool
• A visual tool to identify, explore and graphically
display, in increasing detail, all of the suspected
possible causes related to a problem or condition to
discover its root causes.
• Not a quantitative tool
By: N. G. Shekapure

7 QC Tools
Why Use Cause & Effect Diagrams?
• Focuses team on the content of the problem
• Creates a snapshot of the collective knowledge of team
• Creates consensus of the causes of a problem
• Builds support for resulting solutions
• Focuses the team on causes not symptoms
• To discover the most probable causes for further analysis
• To visualize possible relationships between causes for any
problem current or future
• To pinpoint conditions causing customer complaints, process
errors or non-conforming products
• To provide focus for discussion
• Focuses team on the content of the problem
• Creates a snapshot of the collective knowledge of team
• Creates consensus of the causes of a problem
• Builds support for resulting solutions
• Focuses the team on causes not symptoms
• To discover the most probable causes for further analysis
• To visualize possible relationships between causes for any
problem current or future
• To pinpoint conditions causing customer complaints, process
errors or non-conforming products
• To provide focus for discussion
By: N. G. Shekapure

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ManMan
MethodsMethodsMachineMachine
Five Key
Sources of
Variation
EnvironmentEnvironment+
Product/Manufacturing
MaterialsMaterials MeasurementMeasurement
Five Key
Sources of
Variation
EnvironmentEnvironment+
Use cause and effect diagram to single out variation sources
within the “5M’s + E”
Use cause and effect diagram to single out variation sources
within the “5M’s + E”
By: N. G. Shekapure

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Causes Effect
Main Category
Fishbone - Cause and Effect Diagram
Shows various influences on a process to identify most likely root
causes of problem
Shows various influences on a process to identify most likely root
causes of problem
Problem
Cause
Root
Cause
By: N. G. Shekapure

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Quality
Problem
Quality
Problem
MachinesMachinesMeasurementMeasurement HumanHuman
Faulty testing equipment
Incorrect specifications
Improper methods
Poor supervision
Lack of concentration
Inadequate training
Out of adjustment
Tooling problems
Old / worn
Quality
Problem
Quality
Problem
ProcessProcessEnvironmentEnvironment MaterialsMaterials
Defective from vendor
Not to specifications
Material-
handling problems
Deficiencies in
product design
Ineffective quality
management
Poor process design
Inaccurate
temperature
control
Dust and
Dirt
By: N. G. Shekapure

7 QC Tools
Late Pizza
deliveries on
Fridays &
Saturdays
Late Pizza
deliveries on
Fridays &
Saturdays
Machinery / Equipment'sMachinery / Equipment's PeoplePeople
Late Pizza
deliveries on
Fridays &
Saturdays
Late Pizza
deliveries on
Fridays &
Saturdays
MethodsMethods MaterialsMaterials
By: N. G. Shekapure

5 S
5S

5 S
The 5S
Seiri – Sort (housekeeping)
Seiton – Set in order (workplace organization)
Seiso – Shine (Cleanup)
Seiketsu – Standardize (Cleanliness)
Shitsuke – Sustain (Discipline)
Seiri – Sort (housekeeping)
Seiton – Set in order (workplace organization)
Seiso – Shine (Cleanup)
Seiketsu – Standardize (Cleanliness)
Shitsuke – Sustain (Discipline)
By: N. G. Shekapure

5 S
Benefits of 5S
 Reduce waste hidden in the plant
 Improve quality and safety
 Reduce lead time and cost
 Increase profit
 Reduce waste hidden in the plant
 Improve quality and safety
 Reduce lead time and cost
 Increase profit
By: N. G. Shekapure

5 S
Seiri – Sort
• Ensuring each item in a workplace is in its proper place
or identified as unnecessary and removed.
• Sort items by frequency of use
• Get rid of unnecessary stuff
 Bare essentials for the job
 Red Tag system
 Can tasks be simplified?
 Do we label items, and dispose of waste frequently?
• Ensuring each item in a workplace is in its proper place
or identified as unnecessary and removed.
• Sort items by frequency of use
• Get rid of unnecessary stuff
 Bare essentials for the job
 Red Tag system
 Can tasks be simplified?
 Do we label items, and dispose of waste frequently?
By: N. G. Shekapure

5 S
Seiton – Set in order
• Time spent looking for things, putting away
• Arrange materials and equipment so that they
are easy to find and use
 Prepare and label storage areas
 Use paint, outlines, color-coded
 Consider ergonomics of reaching items
 Frequent, infrequent users
• Time spent looking for things, putting away
• Arrange materials and equipment so that they
are easy to find and use
 Prepare and label storage areas
 Use paint, outlines, color-coded
 Consider ergonomics of reaching items
 Frequent, infrequent users
By: N. G. Shekapure

5 S
Seiso – Shine
• Repair, clean & shine work area
• Important for safety
• Maintenance problems such as oil leaks can
identified before they cause problems.
• Schedule for cleaning, sweeping, wiping off
• Cleaning inspection checklists
• Workspace always ready to work
• See workspace through customers’ eyes
• Repair, clean & shine work area
• Important for safety
• Maintenance problems such as oil leaks can
identified before they cause problems.
• Schedule for cleaning, sweeping, wiping off
• Cleaning inspection checklists
• Workspace always ready to work
• See workspace through customers’ eyes
By: N. G. Shekapure

5 S
Seiketsu – Standardize
• Formalize procedures and practices to create
consistency and ensure all steps are performed
correctly.
• Prevention steps for clutter
• Otherwise improvements from first 3 lost
• Everyone knows what they are responsible for
doing, when and how
• Visual 5S – see status at a glance
• Safe wear, no wasted resources
• Formalize procedures and practices to create
consistency and ensure all steps are performed
correctly.
• Prevention steps for clutter
• Otherwise improvements from first 3 lost
• Everyone knows what they are responsible for
doing, when and how
• Visual 5S – see status at a glance
• Safe wear, no wasted resources
By: N. G. Shekapure

5 S
Shitsuke – Sustain
• Keep the processes going through training,
communication, and organization structures
• Allocate time for maintaining
• Create awareness of improvements
• Management support for maintaining
• Training, rewards
• Keep the processes going through training,
communication, and organization structures
• Allocate time for maintaining
• Create awareness of improvements
• Management support for maintaining
• Training, rewards
By: N. G. Shekapure

5 S
What is 5S ?

5 S

5 S
Implementation
• Gradually – too fast unsustainable
• During slow time
• Importance of training, Management commitment
• Before & After photos
• Change of mentality, not campaigns and slogans.
Old way no longer OK
• MBWA
• Patrols
• Gradually – too fast unsustainable
• During slow time
• Importance of training, Management commitment
• Before & After photos
• Change of mentality, not campaigns and slogans.
Old way no longer OK
• MBWA
• Patrols
(Management By Wandering Around)
By: N. G. Shekapure

TPM
Total Productive Maintenance

TPM
FOCUSED
IMPROVEMENT
AUTONOMOUS MAINTENANCE
PLANNED
MAINTENANCE
TRAINING AND
SKILLS DEVELOPMENT
RESET BASE LEVEL, INSPECTION STANDARDS
5S, SETTING STANDARDS.
MEASUREMENT OF LOSSES, PROBLEM SOLVING,
RELIABILITY IMPROVEMENT, SMED.
DOWNTIME REDUCTION
INITIALIZATION OF CONDITION BASED MAINTENANCE
TECHNICAL SKILLS REQUIREMENTS
KNOW- HOW
The 8 Pillars of TPM
PI
PII
PIII
PIV
TRAINING AND
SKILLS DEVELOPMENT
INITIAL PHASE
MANAGEMENT
ADMINISTRATIVE WORK
IMPROVEMENT
QUALITY IMPROVEMENT
TECHNICAL SKILLS REQUIREMENTS
KNOW- HOW
CHECK OF SPECIFICATIONS
TECHNICAL EVOLUTIONS
5S IN OFFICES
5S IN WAREHOUSES
IMPROVE EFFICIENCY OF ADMINISTRATIVE TASKS
MANAGEMENT FOR ZERO ACCIDENT
AND ZERO POLLUTION
REDUCTION OF DEFECTS
OPERATING STANDARDS
SAFETY &
ENVIRONMENT
QUALITY
MAINTENANCE
PIV
PV
PVI
PVII
PVIII
By: N. G. Shekapure

TPM
• Breakdown maintenance
 Waits until equipment fails and repair it
• Preventive maintenance
 Regular maintenance (cleaning, inspection, oiling and retightening)
 Retains the healthy condition of equipment and prevents failure
 Periodic maintenance (time based maintenance - TBM)
 Predictive maintenance (condition based maintenance)
• Corrective maintenance
 Improves equipment and its components so that preventive
maintenance can be carried out reliably
• Maintenance prevention
 Improves the design of new equipment
• Breakdown maintenance
 Waits until equipment fails and repair it
• Preventive maintenance
 Regular maintenance (cleaning, inspection, oiling and retightening)
 Retains the healthy condition of equipment and prevents failure
 Periodic maintenance (time based maintenance - TBM)
 Predictive maintenance (condition based maintenance)
• Corrective maintenance
 Improves equipment and its components so that preventive
maintenance can be carried out reliably
• Maintenance prevention
 Improves the design of new equipment
By: N. G. Shekapure

TPM
Think of productive equipment as we think of our cars or
telephones
They are ready to go when we need them
They need not run all the time to be productive
For this concept to function properly
The machines must be ready when we need them
They must be shut down in such a fashion as to be
ready the next time
Why do you change the oil in your car?
Think of productive equipment as we think of our cars or
telephones
They are ready to go when we need them
They need not run all the time to be productive
For this concept to function properly
The machines must be ready when we need them
They must be shut down in such a fashion as to be
ready the next time
Why do you change the oil in your car?
By: N. G. Shekapure

TPM
 To maintain quality
 To maintain production volume
 To maintain efficiency
 To protect investment in equipment
“If machine uptime is not predictable, if process capability is
not sustained, we cannot satisfy the customer, and we
cannot stay in business.”
 To maintain quality
 To maintain production volume
 To maintain efficiency
 To protect investment in equipment
“If machine uptime is not predictable, if process capability is
not sustained, we cannot satisfy the customer, and we
cannot stay in business.”
By: N. G. Shekapure

TPM
Total
• All employees are involved
• It aims to eliminate all accidents, defects and breakdowns
Productive
• Actions are performed while production goes on
• Troubles for production are minimized
Maintenance
• Keep in good condition
• Repair, clean, lubricate
Total
• All employees are involved
• It aims to eliminate all accidents, defects and breakdowns
Productive
• Actions are performed while production goes on
• Troubles for production are minimized
Maintenance
• Keep in good condition
• Repair, clean, lubricate
By: N. G. Shekapure

TPM
TPM Targets:
PQCDSM
P : Obtain Minimum 80% OPE.
Obtain Minimum 90% OEE ( Overall Equipment Effectiveness )
Run the machines even during lunch. ( Lunch is for operators and not for
machines ! )
Q : Operate in a manner, so that there are no customer complaints.
C : Reduce the manufacturing cost by 30%.
D : Achieve 100% success in delivering the goods as required by the customer.
S : Maintain a accident free environment.
M : Increase the suggestions by 3 times. Develop Multi-skilled and flexible
workers.
TPM Targets:
PQCDSM
P : Obtain Minimum 80% OPE.
Obtain Minimum 90% OEE ( Overall Equipment Effectiveness )
Run the machines even during lunch. ( Lunch is for operators and not for
machines ! )
Q : Operate in a manner, so that there are no customer complaints.
C : Reduce the manufacturing cost by 30%.
D : Achieve 100% success in delivering the goods as required by the customer.
S : Maintain a accident free environment.
M : Increase the suggestions by 3 times. Develop Multi-skilled and flexible
workers.
By: N. G. Shekapure

TPM
PQCDSM

TPM
Preparation
Announcement to introduce TPM
Introductory education campaign for the workforce
TPM Promotion (special committees)
Establish basic TPM policies and goals
Preparation and Formulation of a master plan
Kick-off
Implementation
Preparation and Formulation of a master plan
Develop an equipment management program
Develop a planned maintenance program
Develop an autonomous maintenance program
Increase skills of production and maintenance personnel
Perfect TPM implementation and raise TPM levelsStabilization
Develop early equipment management program
Invite customers, affiliated companies and subcontractors
By: N. G. Shekapure

KAIZEN
KAIZEN

KAIZEN
Kaizen was first implemented in several Japanese
businesses during the country's recovery after World War
II, including Toyota, and has since spread out to
businesses throughout the world.
This method became famous by the book of Masaaki
Imai “Kaizen: The Key to Japan's Competitive Success.”
Kaizen was first implemented in several Japanese
businesses during the country's recovery after World War
II, including Toyota, and has since spread out to
businesses throughout the world.
This method became famous by the book of Masaaki
Imai “Kaizen: The Key to Japan's Competitive Success.”
By: N. G. Shekapure

KAIZEN
 Improvements are based on many, small changes rather than the
radial changes that might arise from Research and Development.
 As the ideas come from the workers themselves, they are less
likely to be radically different, & therefore easier to implement.
 Small improvements are less likely to required major capital
investment than major process changes.
 Small improvements are less likely to required major capital
investment than major process changes.
 The ideas come from the talents of the existing workforce, as
opposed to using R&D, consultants or equipment – any of which
could be very expensive
 All employees should continually be seeking ways to improve
their own performance.
 It helps encourage workers to take ownership of their work and
thereby improving worker motivation, team working .
By: N. G. Shekapure

KAIZEN
The quick and easy kaizen process works as follows:
1. The employee identifies a problem, waste, or an opportunity for
improvement and writes it down.
2. The employee develops an improvement idea and discusses it
with his or her supervisor.
3. The supervisor reviews the idea within 24 hours and encourages
immediate action.
4. The employee implements the idea. If a larger improvement
idea is approved, the employee should take leadership to
implement the idea.
5. The idea is written up on a simple form in less than three
minutes.
6. Supervisor posts the form to share with and stimulate others
and recognizes the accomplishment.
The quick and easy kaizen process works as follows:
1. The employee identifies a problem, waste, or an opportunity for
improvement and writes it down.
2. The employee develops an improvement idea and discusses it
with his or her supervisor.
3. The supervisor reviews the idea within 24 hours and encourages
immediate action.
4. The employee implements the idea. If a larger improvement
idea is approved, the employee should take leadership to
implement the idea.
5. The idea is written up on a simple form in less than three
minutes.
6. Supervisor posts the form to share with and stimulate others
and recognizes the accomplishment.
By: N. G. Shekapure

Quality Circle

Quality Circle
Voluntary groups of employees who work on similar tasks
or share an area of responsibility
They agree to meet on a regular basis to discuss & solve
problems related to work.
They operate on the principle that employee participation
in decision-making and problem-solving improves the
quality of work
Voluntary groups of employees who work on similar tasks
or share an area of responsibility
They agree to meet on a regular basis to discuss & solve
problems related to work.
They operate on the principle that employee participation
in decision-making and problem-solving improves the
quality of work
By: N. G. Shekapure

Quality Circle
Characteristics
Volunteers
Set Rules and Priorities
Decisions made by agreement
Use of organized approaches to Problem-Solving
Characteristics
Volunteers
Set Rules and Priorities
Decisions made by agreement
Use of organized approaches to Problem-Solving
By: N. G. Shekapure

Quality Circle
 All members of a Circle need to receive training
 Members need to be empowered
 Members need to have the support of Senior
Management
 All members of a Circle need to receive training
 Members need to be empowered
 Members need to have the support of Senior
Management
By: N. G. Shekapure

KAIZEN
 Increase Productivity
 Improve Quality
 Boost Employee Morale

KAIZEN
• Inadequate Training
• Unsure of Purpose
• Not truly Voluntary
• Lack of Management Interest
• Quality Circles are not really empowered to
make decisions.
• Inadequate Training
• Unsure of Purpose
• Not truly Voluntary
• Lack of Management Interest
• Quality Circles are not really empowered to
make decisions.
By: N. G. Shekapure

Concurrent Engineering

1st Definition
“The simultaneous performance of product design and
process design. Typically, concurrent engineering involves
the formation of cross-functional teams. This allows
engineers and managers of different disciplines to work
together simultaneously in developing product and
process design.”
Foster, S. Thomas. Managing Quality: An Integrative Approach. Upper Saddle
River New Jersey: Prentice Hall, 2001.
“The simultaneous performance of product design and
process design. Typically, concurrent engineering involves
the formation of cross-functional teams. This allows
engineers and managers of different disciplines to work
together simultaneously in developing product and
process design.”
Foster, S. Thomas. Managing Quality: An Integrative Approach. Upper Saddle
River New Jersey: Prentice Hall, 2001.
By: N. G. Shekapure

2nd Definition
“Concurrent engineering methodologies permit the separate
tasks of the product development process to be carried out
simultaneously rather than sequentially. Product design,
testing, manufacturing and process planning through
logistics, for example, are done side-by-side and interactively.
Potential problems in fabrication, assembly, support and
quality are identified and resolved early in the design
process.”
Izuchukwu, John. “Architecture and Process :The Role of Integrated Systems in
Concurrent Engineering.” Industrial Management Mar/Apr 1992: p. 19-23.
“Concurrent engineering methodologies permit the separate
tasks of the product development process to be carried out
simultaneously rather than sequentially. Product design,
testing, manufacturing and process planning through
logistics, for example, are done side-by-side and interactively.
Potential problems in fabrication, assembly, support and
quality are identified and resolved early in the design
process.”
Izuchukwu, John. “Architecture and Process :The Role of Integrated Systems in
Concurrent Engineering.” Industrial Management Mar/Apr 1992: p. 19-23.
By: N. G. Shekapure

Basic view of Concurrent Engineering
- Doing things simultaneously
- Focusing on the Process
- Converting hierarchical organizations into teams
Basic Goals of Concurrent Engineering
- Dramatic improvements in time to market and costs
- Improvements to product quality and performance
- Do more with less
Basic Goals of Concurrent Engineering
- Dramatic improvements in time to market and costs
- Improvements to product quality and performance
- Do more with less
By: N. G. Shekapure

Concurrent Engineering = Teamwork
- The more communication exists, the better the product.
Balances Needs
- Customer, Supplier, Engineers, Marketing, & Manuf. needs.
Management
- Good management is vitally important
- Encourage communication
- Strong management support
By: N. G. Shekapure

3 Main Areas to Concurrent Engineering
1) People (Formation of teams, Training)
2) Process (Changes in your processes, Be open to change)
3) Technology (Software. Hardware, and Networking)
3 Main Areas to Concurrent Engineering
1) People (Formation of teams, Training)
2) Process (Changes in your processes, Be open to change)
3) Technology (Software. Hardware, and Networking)
By: N. G. Shekapure

JIT
Just in Time (JIT)
Overview of Japanese Manufacturing
System

JIT
Japanese Manufacturing Techniques
• Emerged in the post-World War II era
• Reached the height of their prominence in the 1980s
• An emphasis on designing processes to optimize
efficiency and A strong commitment to quality.
• Toyota Production System (TPS), the core of which is
just-in-time (JIT) production or so-called lean
manufacturing.
• Taiichi Ohno, a former Toyota executive, and
Shigeo Shingo, an eminent engineer and consultant
• Emerged in the post-World War II era
• Reached the height of their prominence in the 1980s
• An emphasis on designing processes to optimize
efficiency and A strong commitment to quality.
• Toyota Production System (TPS), the core of which is
just-in-time (JIT) production or so-called lean
manufacturing.
• Taiichi Ohno, a former Toyota executive, and
Shigeo Shingo, an eminent engineer and consultant
By: N. G. Shekapure

JIT
Toyota’s Production system

JIT
History of JIT Manufacturing
Evolved in Japan after World War II, as a result of their
diminishing market share in the auto industry.
Toyota Motor Company- Birthplace of the JIT
Philosophy Under Taiichi Ohno.
•W. Edwards Deming
•14 points for Management
JIT is now on the rise in American Industries.
Evolved in Japan after World War II, as a result of their
diminishing market share in the auto industry.
Toyota Motor Company- Birthplace of the JIT
Philosophy Under Taiichi Ohno.
•W. Edwards Deming
•14 points for Management
JIT is now on the rise in American Industries.
By: N. G. Shekapure

JIT
Developments of JIT and Lean Operations
1960’s: Developed as Toyota Production System by
Taiichi Ohno and his colleagues
1970’s: U.S. and European auto makers began to
apply JIT to improve quality and productivity
1990’s and beyond: Expanded the JIT concept to
streamline all types of operations
1960’s: Developed as Toyota Production System by
Taiichi Ohno and his colleagues
1970’s: U.S. and European auto makers began to
apply JIT to improve quality and productivity
1990’s and beyond: Expanded the JIT concept to
streamline all types of operations
By: N. G. Shekapure

JIT
Elimination of Waste
• Knew they wouldn’t beat U.S. with product innovation,
concentrated on licensing patents, and producing
more efficiently
• Costs prevented mass-production, volume strategy of
American firms.
• Find ways to reduce waste, cost
• Knew they wouldn’t beat U.S. with product innovation,
concentrated on licensing patents, and producing
more efficiently
• Costs prevented mass-production, volume strategy of
American firms.
• Find ways to reduce waste, cost
Shigeo Shingo
By: N. G. Shekapure

JIT
-- the early years
First two Toyotas imported to U.S. 1957

JIT
Eliminating Waste
Maximizing process efficiency and the returns
on resources
Identifying unnecessary uses of human, capital,
or physical resources
Maximizing process efficiency and the returns
on resources
Identifying unnecessary uses of human, capital,
or physical resources
By: N. G. Shekapure

JIT
Waste
Waste is ‘anything other than the minimum amount
of equipment, materials, parts, space, and workers’
time which are absolutely essential to add value to
the product.
--Shoichiro Toyoda President, Toyota Motor Co.
If you put your mind to it, you can squeeze water
from a dry towel.
-- Eiji Toyoda, President 1967-1982
Waste is ‘anything other than the minimum amount
of equipment, materials, parts, space, and workers’
time which are absolutely essential to add value to
the product.
--Shoichiro Toyoda President, Toyota Motor Co.
If you put your mind to it, you can squeeze water
from a dry towel.
-- Eiji Toyoda, President 1967-1982
By: N. G. Shekapure

JIT
7 Types of Waste (Ohno 1988)
Overproduction
Time on Hand (waiting time)
Transportation
Stock on Hand - Inventory
Waste of Processing itself
Movement
Making Defective Products
Overproduction
Time on Hand (waiting time)
Transportation
Stock on Hand - Inventory
Waste of Processing itself
Movement
Making Defective Products
By: N. G. Shekapure

JIT
Process Improvement
Toyota system heavy emphasis was placed on lowering the time
and complexity required to change a die in a manufacturing
process.
Occur through a series of smaller initiatives kaizen.
In 1970 it took the company four hours to change a die for a 1,000-
ton stamping press. Six months later, the changing time had been
cut to one and a half hours
1971 Toyota had indeed achieved its goal of a three-minute die
change.
Western firms focused on training workers to master increasingly
complicated tasks
Selectively redesign the tasks so they could be more easily and
reliably mastered (poka-yoke)
Toyota system heavy emphasis was placed on lowering the time
and complexity required to change a die in a manufacturing
process.
Occur through a series of smaller initiatives kaizen.
In 1970 it took the company four hours to change a die for a 1,000-
ton stamping press. Six months later, the changing time had been
cut to one and a half hours
1971 Toyota had indeed achieved its goal of a three-minute die
change.
Western firms focused on training workers to master increasingly
complicated tasks
Selectively redesign the tasks so they could be more easily and
reliably mastered (poka-yoke)
By: N. G. Shekapure

JIT
Value Added
• Distinguish between activities that add value to a
product and those that are logistical but add no
value
• Production process itself, where materials are being
transformed into progressively functional work
pieces.
• Non Value Adding such as transporting materials,
inspecting finished work, and most of all, idle time
and delays
• Distinguish between activities that add value to a
product and those that are logistical but add no
value
• Production process itself, where materials are being
transformed into progressively functional work
pieces.
• Non Value Adding such as transporting materials,
inspecting finished work, and most of all, idle time
and delays
By: N. G. Shekapure

JIT
Overproduction And Excess Inventory
• To produce more than customers actually need—or
sooner than they need it
• Carrying inventory is wasteful
• Systems like the Japanese kanban established a set
of often simple visual cues in the factory
• Company can reduce both the direct costs of
holding/handling inventory as well as the indirect
costs of tying up capital in the form of excess
inventory
• To produce more than customers actually need—or
sooner than they need it
• Carrying inventory is wasteful
• Systems like the Japanese kanban established a set
of often simple visual cues in the factory
• Company can reduce both the direct costs of
holding/handling inventory as well as the indirect
costs of tying up capital in the form of excess
inventory
By: N. G. Shekapure

JIT
Order-based Production
• Customer information to drive their production
decisions.
• Effective market research/forecasting and
communication with customers.
• Guided by actual orders, rather than anticipated
demand
• “Pull" from the actual market, as opposed to “Push"
that stems only from the manufacturer's conjecture.
• Customer information to drive their production
decisions.
• Effective market research/forecasting and
communication with customers.
• Guided by actual orders, rather than anticipated
demand
• “Pull" from the actual market, as opposed to “Push"
that stems only from the manufacturer's conjecture.
By: N. G. Shekapure

JIT
Transportation
• Excess movement of items or materials.
• Changing the layout of a factory, its geographic
location relative to its customers
• Mitigated through automation, ideal under the
Japanese system is to minimize it altogether
• Cell and flexible manufacturing layouts
• Negatively affects small-lot, order-based production
• Excess movement of items or materials.
• Changing the layout of a factory, its geographic
location relative to its customers
• Mitigated through automation, ideal under the
Japanese system is to minimize it altogether
• Cell and flexible manufacturing layouts
• Negatively affects small-lot, order-based production
By: N. G. Shekapure

JIT
Quality By Design
• Marked attention to quality throughout the
production process.
• W. Edwards Deming and Joseph M. Juran
• Designing it into the production process
• Inform—and improve—the manufacturing process,
not just to describe it.
• Marked attention to quality throughout the
production process.
• W. Edwards Deming and Joseph M. Juran
• Designing it into the production process
• Inform—and improve—the manufacturing process,
not just to describe it.
By: N. G. Shekapure

JIT
Market-driven Pricing
• Market-determined price for a good and then engineer
the manufacturing process to produce at this price
profitably
• Increases in costs are not passed on to the consumer
in the form of higher prices
• Lowering costs - practice central to the rise of the
Japanese auto manufacturers in the U.S. market
• Market-determined price for a good and then engineer
the manufacturing process to produce at this price
profitably
• Increases in costs are not passed on to the consumer
in the form of higher prices
• Lowering costs - practice central to the rise of the
Japanese auto manufacturers in the U.S. market
By: N. G. Shekapure

JIT
Worker Flexibility
• Maximizing returns on human capital - human time is
more valuable than machine time
• Skills and Scheduling
• Individual workers running several machines
simultaneously, a practice called jidoka.
• Multi-machine worker system reportedly achieved 20
to 30 percent gains in worker productivity.
• Scheduling under just-in-time basis
• Maximizing returns on human capital - human time is
more valuable than machine time
• Skills and Scheduling
• Individual workers running several machines
simultaneously, a practice called jidoka.
• Multi-machine worker system reportedly achieved 20
to 30 percent gains in worker productivity.
• Scheduling under just-in-time basis
By: N. G. Shekapure

JIT
Building Blocks for Just-in-Time

JIT
Manufacturing Planning and Control System and JIT

JIT
Why JIT
• There is steep rise in customer’s base and unexpected
due to spread of business on International platform.
• Global Competition is increasing as customer has
various options of choosing the different company’s
product.
• Just-in-time approach provides better business
strategy to combat the challenge of meeting customer’s
demand.
• There is steep rise in customer’s base and unexpected
due to spread of business on International platform.
• Global Competition is increasing as customer has
various options of choosing the different company’s
product.
• Just-in-time approach provides better business
strategy to combat the challenge of meeting customer’s
demand.
By: N. G. Shekapure

Kanban

QFD
Quality Function Deployment
(QFD)
The Voice of the Customer
The Voice of the Customer
By: N. G. Shekapure

QFD
What is QFD?
"Time was when a man could order a pair of shoes directly from the
cobbler. By measuring the foot himself and personally handling
all aspects of manufacturing, the cobbler could assure the
customer would be satisfied,"
Quality Function Deployment (QFD) was developed to
bring this personal interface to modern manufacturing
and business. In today's industrial society, where the
growing distance between producers and users is a
concern, QFD links the needs of the customer (end user)
with design, development, engineering, manufacturing,
and service functions.
Quality Function Deployment (QFD) was developed to
bring this personal interface to modern manufacturing
and business. In today's industrial society, where the
growing distance between producers and users is a
concern, QFD links the needs of the customer (end user)
with design, development, engineering, manufacturing,
and service functions.
By: N. G. Shekapure

QFD
QFD is….
• Understanding Customer Requirements
• Quality Systems Thinking + Psychology +
Knowledge/Epistemology
• Maximizing Positive Quality That Adds Value
• Comprehensive Quality System for Customer Satisfaction
• Strategy to Stay Ahead of The Game
• Understanding Customer Requirements
• Quality Systems Thinking + Psychology +
Knowledge/Epistemology
• Maximizing Positive Quality That Adds Value
• Comprehensive Quality System for Customer Satisfaction
• Strategy to Stay Ahead of The Game
By: N. G. Shekapure

QFD
What is QFD?
Quality Function Deployment is a design planning
process driven by customer requirements.
1. QFD deploys “The Voice of the
Customer” throughout the
organization.
2. QFD uses planning matrices --
each called “The House of
Quality”.
1. QFD deploys “The Voice of the
Customer” throughout the
organization.
2. QFD uses planning matrices --
each called “The House of
Quality”.
By: N. G. Shekapure

QFD
The House of Quality
QFD-Tutorial
By: N. G. Shekapure

QFD
The House of Quality

Production & Industrial Management II (TE Prod S/W) Unit VI
ISO
International Organization for
Standardization
Overview of ISO 9001 and ISO 14001

ISO
ISO 9001 and ISO 14001 in Brief
• ISO 9001 and ISO 14001 are among ISO's most well
known standards ever.
• They are implemented by more than a million
organizations in some 175 countries.
• ISO 9001 helps organizations to implement quality
management.
• ISO 14001 helps organizations to implement
environmental management.
• ISO 9001 and ISO 14001 are among ISO's most well
known standards ever.
• They are implemented by more than a million
organizations in some 175 countries.
• ISO 9001 helps organizations to implement quality
management.
• ISO 14001 helps organizations to implement
environmental management.

ISO
Quality Management
• ISO 9001 is for quality management.
• Quality refers to all those features of a product (or
service) which are required by the customer.
• Quality management means what the organization
does to ensure that its products or services satisfy the
customer's quality requirements and comply with any
regulations applicable to those products or services.
• Quality management also means what the organization
does to enhance customer satisfaction, and achieve
continual improvement of its performance.
• ISO 9001 is for quality management.
• Quality refers to all those features of a product (or
service) which are required by the customer.
• Quality management means what the organization
does to ensure that its products or services satisfy the
customer's quality requirements and comply with any
regulations applicable to those products or services.
• Quality management also means what the organization
does to enhance customer satisfaction, and achieve
continual improvement of its performance.

ISO
Environmental Management
• ISO 14001 is for environmental management. This
means what the organization does to:
• Minimize harmful effects on the environment
caused by its activities,
• To conform to applicable regulatory requirements,
and to…
• Achieve continual improvement of its environmental
performance.
• ISO 14001 is for environmental management. This
means what the organization does to:
• Minimize harmful effects on the environment
caused by its activities,
• To conform to applicable regulatory requirements,
and to…
• Achieve continual improvement of its environmental
performance.

ISO
• ISO 9001 and ISO 14001 are generic standards.
• Generic means that the same standards can be
applied: to any organization, large or small, whatever
its product or service, in any sector of activity, and
whether it is a business enterprise, a public
administration, or a government department.
Generic Standards
• ISO 9001 and ISO 14001 are generic standards.
• Generic means that the same standards can be
applied: to any organization, large or small, whatever
its product or service, in any sector of activity, and
whether it is a business enterprise, a public
administration, or a government department.

ISO
• Generic also signifies that
• no matter what the organization's scope of activity
• if it wants to establish a quality management system,
ISO 9001 gives the essential features
• or if it wants to establish an environmental
management system, ISO 14001 gives the essential
features.
Generic Standards (Cont.)
• Generic also signifies that
• no matter what the organization's scope of activity
• if it wants to establish a quality management system,
ISO 9001 gives the essential features
• or if it wants to establish an environmental
management system, ISO 14001 gives the essential
features.

ISO
• To be really efficient and effective, the organization
can manage its way of doing things by systemizing it.
• Nothing important is left out.
• Everyone is clear about who is responsible for doing
what, when, how, why and where.
• Management system standards provide the
organization with an international, state-of-the-art
model to follow.
Manangement Systems
• To be really efficient and effective, the organization
can manage its way of doing things by systemizing it.
• Nothing important is left out.
• Everyone is clear about who is responsible for doing
what, when, how, why and where.
• Management system standards provide the
organization with an international, state-of-the-art
model to follow.

ISO
• Large organizations, or ones with complicated processes,
could not function well without management systems.
• Companies in such fields as aerospace, automobiles,
defence, or health care devices have been operating
management systems for years.
• The ISO 9001 and ISO 14001 management system standards
now make these successful practices available for all
organizations.
Manangement Systems (Cont.)
• Large organizations, or ones with complicated processes,
could not function well without management systems.
• Companies in such fields as aerospace, automobiles,
defence, or health care devices have been operating
management systems for years.
• The ISO 9001 and ISO 14001 management system standards
now make these successful practices available for all
organizations.

ISO
• Both ISO 9001 and ISO 14001 concern the way an
organization goes about its work.
• They are not product standards.
• They are not service standards.
• They are process standards.
• They can be used by product manufacturers and service
providers.
Processes, not products
• Both ISO 9001 and ISO 14001 concern the way an
organization goes about its work.
• They are not product standards.
• They are not service standards.
• They are process standards.
• They can be used by product manufacturers and service
providers.

ISO
• Processes affect final products or services.
• ISO 9001 gives the requirements for what the organization
must do to manage processes affecting quality of its products
and services.
must do to manage processes affecting the impact of its
activities on the environment.
Processes, not products (Cont.)
• Processes affect final products or services.
must do to manage processes affecting quality of its products
and services.
must do to manage processes affecting the impact of its
activities on the environment.

ISO
Certification and registration
• Certification is known in some countries as registration.
• It means that an independent, external body has
audited an organization's management system and
verified that it conforms to the requirements specified
in the standard (ISO 9001 or ISO 14001).
• ISO does not carry out certification and does not issue
or approve certificates
• Certification is known in some countries as registration.
• It means that an independent, external body has
audited an organization's management system and
verified that it conforms to the requirements specified
in the standard (ISO 9001 or ISO 14001).
• ISO does not carry out certification and does not issue
or approve certificates

ISO
• Accreditation is like certification of the certification body.
• It means the formal approval by a specialized body - an
accreditation body - that a certification body is competent to
carry out ISO 9001:2008 or ISO 14001:2004 certification in
specified business sectors.
• Certificates issued by accredited certification bodies - and known
as accredited certificates - may be perceived on the market as
having increased credibility.
• ISO does not carry out or approve accreditations.
Accreditation
• Accreditation is like certification of the certification body.
• It means the formal approval by a specialized body - an
accreditation body - that a certification body is competent to
carry out ISO 9001:2008 or ISO 14001:2004 certification in
specified business sectors.
• Certificates issued by accredited certification bodies - and known
as accredited certificates - may be perceived on the market as
having increased credibility.
• ISO does not carry out or approve accreditations.

ISO
• Certification is not a requirement of ISO 9001 or ISO
14001.
• The organization can implement and benefit from an ISO
9001 or ISO 14001 system without having it certified.
• The organization can implement them for the internal
benefits without spending money on a certification
programme.
Certification not a requirement
• Certification is not a requirement of ISO 9001 or ISO
14001.
• The organization can implement and benefit from an ISO
9001 or ISO 14001 system without having it certified.
• The organization can implement them for the internal
benefits without spending money on a certification
programme.

ISO
• ISO does not carry out ISO 9001 or ISO 14001
certification.
• ISO does not issue certificates.
• ISO does not accredit, approve or control the
certification bodies.
• ISO develops standards and guides to encourage
good practice in accreditation and certification.
ISO does not certify
• ISO does not carry out ISO 9001 or ISO 14001
certification.
• ISO does not issue certificates.
• ISO does not accredit, approve or control the
certification bodies.
• ISO develops standards and guides to encourage
good practice in accreditation and certification.

ISO
• ISO 9001 is the standard that gives the requirements for a
quality management system.
• ISO 9001:2008 is the latest, improved version.
• It is the only standard in the ISO 9000 family that can be
used for certification.
• There are 16 other standards in the family that can help
an organization on specific aspects such as performance
improvement, auditing, training…
The ISO 9000 Family
• ISO 9001 is the standard that gives the requirements for a
quality management system.
• It is the only standard in the ISO 9000 family that can be
used for certification.
• There are 16 other standards in the family that can help
an organization on specific aspects such as performance
improvement, auditing, training…

ISO
• ISO 14001 is the standard that gives the requirements for an
environmental management system.
• It is the only standard in the ISO 14000 family that can be used for
certification.
• The ISO 14000 family includes 21 other standards that can help an
organization specific aspects such as auditing, environmental
labelling, life cycle analysis…
The ISO 9000 Family
• ISO 14001 is the standard that gives the requirements for an
environmental management system.
• It is the only standard in the ISO 14000 family that can be used for
certification.
• The ISO 14000 family includes 21 other standards that can help an
organization specific aspects such as auditing, environmental
labelling, life cycle analysis…

ISO
The ISO Survey

ISO
Benefits of ISO 9001 and ISO 14001
• International, expert consensus on state-of-the-art
practices for quality and environmental management.
• Common language for dealing with customers and
suppliers worldwide in B2B.
• Increase efficiency and effectiveness.
• Model for continual improvement.
• International, expert consensus on state-of-the-art
practices for quality and environmental management.
• Common language for dealing with customers and
suppliers worldwide in B2B.
• Increase efficiency and effectiveness.
• Model for continual improvement.

ISO
Benefits of ISO 9001 and ISO 14001 (Cont.)
• Model for satisfying customers and other stakeholders.
• Build quality into products and services from design
onwards.
• Address environmental concerns of customers and public,
and comply with government regulations.
• Integrate with global economy.
• Model for satisfying customers and other stakeholders.
• Build quality into products and services from design
onwards.
• Address environmental concerns of customers and public,
and comply with government regulations.
• Integrate with global economy.

ISO
• Sustainable business
• Unifying base for industry sectors
• Qualify suppliers for global supply chains
• Technical support for regulations
• Sustainable business
• Unifying base for industry sectors
• Qualify suppliers for global supply chains
• Technical support for regulations

ISO
• Transfer of good practice to developing countries
• Tools for new economic players
• Regional integration
• Facilitate rise of services
• Transfer of good practice to developing countries
• Tools for new economic players
• Regional integration
• Facilitate rise of services

FMEA
Failure Mode & Effects Analysis (FMEA)
• FMEA is a systematic method of identifying and preventing
system, product and process problems before they occur
• FMEA is focused on preventing problems, enhancing safety,
and increasing customer satisfaction
• Ideally, FMEA’s are conducted in the product design or
process development stages, although conducting an FMEA
on existing products or processes may also yield benefits
• FMEA is a systematic method of identifying and preventing
system, product and process problems before they occur
• FMEA is focused on preventing problems, enhancing safety,
and increasing customer satisfaction
• Ideally, FMEA’s are conducted in the product design or
process development stages, although conducting an FMEA
on existing products or processes may also yield benefits

FMEA
FMEA History
• The history of FMEA/FMECA goes back to the early
1950s and 1960s.
• U.S. Navy Bureau of Aeronautics, followed by the
Bureau of Naval Weapons:
• National Aeronautics and Space Administration (NASA):
• Department of Defense developed and revised the
MIL-STD-1629A guidelines during the 1970s.
• The history of FMEA/FMECA goes back to the early
1950s and 1960s.
• U.S. Navy Bureau of Aeronautics, followed by the
Bureau of Naval Weapons:
• National Aeronautics and Space Administration (NASA):
• Department of Defense developed and revised the
MIL-STD-1629A guidelines during the 1970s.

FMEA
FMEA is a Tool
• FMEA is a tool that allows you to:
• Prevent System, Product and Process problems before
they occur
• reduce costs by identifying system, product and process
improvements early in the development cycle
• Create more robust processes
• Prioritize actions that decrease risk of failure
• Evaluate the system,design and processes from a new
vantage point
• FMEA is a tool that allows you to:
• Prevent System, Product and Process problems before
they occur
• reduce costs by identifying system, product and process
improvements early in the development cycle
• Create more robust processes
• Prioritize actions that decrease risk of failure
• Evaluate the system,design and processes from a new
vantage point

FMEA
A Systematic Process
• FMEA provides a systematic process to:
• Identify and evaluate
• potential failure modes
• potential causes of the failure mode
• Identify and quantify the impact of potential failures
• Identify and prioritize actions to reduce or eliminate the
potential failure
• Implement action plan based on assigned responsibilities and
completion dates
• Document the associated activities
• FMEA provides a systematic process to:
• Identify and evaluate
• potential failure modes
• potential causes of the failure mode
• Identify and quantify the impact of potential failures
• Identify and prioritize actions to reduce or eliminate the
potential failure
• Implement action plan based on assigned responsibilities and
completion dates
• Document the associated activities

FMEA
Purpose/Benefit
• Cost effective tool for maximizing and documenting
the collective knowledge, experience, and insights of
the engineering and manufacturing community
• Format for communication across the disciplines
• Provides logical, sequential steps for specifying
product and process areas of concern
• Cost effective tool for maximizing and documenting
the collective knowledge, experience, and insights of
the engineering and manufacturing community
• Format for communication across the disciplines
• Provides logical, sequential steps for specifying
product and process areas of concern

World Class Management Techniques

World Class Management Techniques

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