ENGINEERING MANAGEMENT (3-0- 0)

Sub Code : ME0302

Hrs / Week : 03
SEE Hrs : 3 Hrs

CIE : 50 %
SEE : 50 %
Max. Marks: 10 0

Course Instructor:

Dr. Aravindrao M.Yadwad

B.E, M.Tech, Ph.D, PGDHRM., MBA, MASME, MISTE, MCI, MIE, C.Engg.

Associate Professor

Department of Mechanical Engineering

The National Institute of Engineering
MYSORE - 570008, KARNATAKA
Cell:09964470900

Management is efficiency in climbing the ladder

of success

Treat your password like your toothbrush. Don't

let anybody else use it, and get a new one every
six months.
Clifford Stoll

Unit - 4 : Quality Management

Dimensions of quality, Historical Review,
Contribution of Quality Gurus- Edward Deming
(PDCA cycle), Joseph Juran (Quality trilogy),
Ishikawa and (Companywide quality control),
Taguchi (quality loss function), Quality function
deployment, Introduction to TQM.
QC Tools: Flowcharts, Histograms, Cause and
Effect Diagrams, Check Sheets, Pareto Diagrams,
Control Charts and Scatter Diagrams.
SLE: TPM, Acceptance Sampling.

6 Hrs

Quality
Perspectives
Everyone defines quality based on their own perspective of it.
Typical responses about the definition of quality would include:

Perfection
Consistency
Eliminating waste
Speed of delivery
Compliance with policies and procedures
Doing it right the first time
Delighting or pleasing customers
Total customer satisfaction and service

Meaning of Quality

Websters Dictionary

degree of excellence of a thing/product

Quality is the ability of a product or service to consistently

meet or exceed customer expectations.
Some definitions that have gained wide acceptance in various
organizations:
Quality is customer satisfaction,
Quality is Fitness for use
The American National Standards Institute [ANSI] and
the American Society for Quality [ASQ] define quality as
: The totality of features and characteristics of a product
or service that bears on its ability to satisfy given needs.

Meaning of Quality:
Consumers Perspective
Fitness for use

how well product or

service does what it is
supposed to

Quality of design

designing quality
characteristics into a
product or service
A Mercedes and a Ford are
equally fit for use, but with
different design dimensions

Dimensions of Quality:
Manufactured Products
Performance

basic operating characteristics of a product; how

well a car is handled or its gas mileage

Features

extra items added to basic features, such as a

stereo CD or a leather interior in a car

Reliability

probability that a product will operate properly

within an expected time frame; that is, a TV will
work without repair for about seven years

Dimensions of Quality:
Manufactured Products (cont.)
Conformance

degree to which a product meets preestablished

standards

Durability

how long product lasts before replacement

Serviceability

ease of getting repairs, speed of repairs, courtesy

and competence of repair person

Dimensions of Quality:
Manufactured Products (cont.)
Aesthetics

how a product looks, feels, sounds, smells, or

tastes

Safety

assurance that customer will not suffer injury or

harm from a product; an especially important
consideration for automobiles

Perceptions

subjective perceptions based on brand name,

advertising, and the like

Meaning of Quality:
Producers Perspective
Quality of Conformance

Making sure a product or service is produced

according to design

if new tires do not conform to specifications, they

wobble
if a hotel room is not clean when a guest checks in,
the hotel is not functioning according to
specifications of its design

Meaning of Quality:
A Final Perspective
Consumers and producers perspectives
depend on each other
Consumers perspective: PRICE
Producers perspective: COST
Consumers view must dominate

Meaning of Quality
Meaning
Meaning of
of Quality
Quality

Producers
Producers Perspective
Perspective

Quality
Quality of
of Conformance
Conformance
Production
Production

Conformance to
specifications
Cost

Consumers
Consumers Perspective
Perspective

Quality
Quality of
of Design
Design
Quality characteristics
Price

Fitness
Fitness for
for
Consumer
Consumer Use
Use

Marketing
Marketing

Why Quality?

Reasons for quality becoming a cardinal priority most

organizations:
Competition: Todays market demand high quality products at low cost.
Having high quality reputation is not enough.
Changing Customer: The new customer is not only commanding
priority based on the volume but is more demanding about the quality
system.
Changing product mix: The shift from low volume, high price to high
volume, low price have resulted in a need to reduce the internal cost of
poor quality.
Product complexity: As systems have become more complex, the
reliability requirements for suppliers of components have become more
stringent.

Higher levels of customer satisfaction: Higher customers expectations

are getting spawned by increasing competition.

 Loss of business
Liability
Consequences of Poor Quality
The
Reduced productivity
Increased costs
Responsibility for Quality

Top management
Design
Procurement
Production/operations
Quality assurance
Packaging and shipping
Marketing and sales
Customer service

Quality
Levels
At Organizational level
At Process level
At the individual job level

Historical Review
During Middle Ages => Skilled craftsmanship
After Industrial Revolution => Specialization of labor
After products become more complicated => Rise of
inspection and separate quality departments
Statistical methods at Bell System (Shewhart 1924)
Acceptance Sampling
The American Society for Quality (1946)
Deming (1950) Japanese Engineers
Juran (1954)

Historical Review-

Continued

First Quality Control Circles (1960)

1970-1980s -> US managers learn from japanese
Total Quality Management (TQM)

Statistical Process Control (SPC)

Malcolm

Baldrige National Quality Award (a

measure for TQM)
Taguchi (Design of Experiments= determination of
important parameters and their target values)
ISO 9000 (1990s)
Focus shifting to information technology (2000s)

The Quality Gurus

Walter Shewhart
Father of statistical quality control
W. Edwards Deming
Joseph M. Juran
Armand Feignbaum
Philip B. Crosby
Kaoru Ishikawa
Genichi Taguchi
Taiichi Ohno and Shigeo Shingo

Contributions of Quality Gurus

Demings 14 Points
1.
2.
3.
4.

Create constancy of purpose

Adopt philosophy of prevention
Cease mass inspection
Select a few suppliers based on
quality
5. Constantly improve system and
workers

Demings 14 Points (cont.)

6.
7.

Institute worker training

Instill leadership among
supervisors
8. Eliminate fear among employees
9. Eliminate barriers between
departments
10. Eliminate slogans

Demings 14 Points (cont.)

11. Remove numerical quotas
12. Enhance worker pride
13. Institute vigorous training and
education programs
14. Develop a commitment from top
management to implement
above 13 points

Deming Wheel: PDCA Cycle

4. Act
Institutionalize
improvement;
continue cycle.

1. Plan
Identify problem
and develop plan
for improvement.

3. Study/Check

2. Do

Assess plan; is it
working?

Implement plan on
a test basis.

Joseph M. Juran : Quality Trilogy

Three basic processes that are essential for
managing to improve quality.
Quality
Quality
Improvement
Improvement

Quality
Quality
Planning
Planning
Quality
Quality
Control
Control

Quality Trilogy

Conti..

The role of quality planning is to design a process

that will be able to meet established goals under
operating conditions.
The role of quality control is to operate and when
necessary correct the process so that it performs
with optimal effectiveness.
The role of quality improvement is to devise ways
to take the process to unprecedented levels of
performance.

Ishikawa and (Companywide

quality control),
The major theoretical contribution of Ishikawa
is his emphasis on total involvement of the
operating employees in improving quality.
Ishikawa is credited for coining the term
company-wide quality control (CWQC) in
Japan.
CWQC movement as implying that quality does not
only mean the quality of product, but also of after sales
service, quality of management, the company itself and
the human being.

Ishikawa and (Companywide quality control),

Professor
Ishikawa is best
known as a
pioneer of the
Quality Circle
movement in
Japan in the
early 1960s

Contin..
Organization
8-10 members
Same area
Supervisor/moderator

Presentation

Training

Implementation
Monitoring

Group processes
Data collection
Problem analysis

Solution

Problem
Identification

Problem results

Problem
Analysis

List alternatives
Consensus
Brainstorming

Cause and effect

Data collection and
analysis

The members of the circle have mastered statistical quality control

and related methods and all utilise them to achieve significant results
in quality improvement, cost reduction, productivity and safety. The
seven tools of quality control are taught to all employees:

Seven Quality Control Tools

There are a number of tools that can be used for
problem solving and process improvement
Tools aid in data collection and interpretation,
and provide the basis for decision making

Pareto Analysis
Flow Chart
Check Sheet
Histogram

Scatter Diagram
SPC Chart
Cause-and-Effect
Diagram

Pareto Analysis
CAUSE

NUMBER OF
DEFECTS

Poor design
Wrong part dimensions
Defective parts
Incorrect machine calibration
Operator errors
Defective material
Surface abrasions

PERCENTAGE

80
16
12
7
4
3
3

64 %
13
10
6
3
2
2

125

100 %

70
(64)
60
50
40
30
20
10
0

(13)

(10)

(6)

(3)

(2)

(2)

Po
or
W
ro
De
ng
si
gn
di
m
D
e f en s
ec
i
tiv ons
M
e
ac
pa
hi
rts
ne
O cal i
pe
br
ra
at
i
to
r e on s
De
rr
or
fe
ct
s
iv
e
Su
m
at
rf
ac
er
ia
e
ls
ab
ra
si
on
s

Percent from each cause

Pareto Chart

Causes of poor quality

Pareto, is a type
of chart that
contains
both
bars and a line
graph,
where
individual values
are represented
in
descending
order by bars,
and
the
cumulative total
is represented
by the line.

Flow Chart
Start/
Finish

Operation

Operation

Decision

Operation

Operation

Operation

Decision

Start/
Finish

A flowchart is a
type of diagram
that
represents
an
algorithm,
workflow
or
process, showing
the
steps
as
boxes of various
kinds, and their
order
by
connecting them
with arrows.

Check Sheet
COMPONENTS REPLACED BY LAB
TIME PERIOD: 22 Feb to 27 Feb 2002
REPAIR TECHNICIAN: Bob
TV SET MODEL 1013
Integrated Circuits
Capacitors
Resistors
Transformers
Commands
CRT

||||
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||
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|

The check sheet is a

form
(document)
used to collect data in
real time at the
location where the
data is generated.
The data it captures
can be quantitative or
qualitative. When the
information
is
quantitative,
the
check
sheet
is
sometimes called a
tally sheet.

Histogram
20

15
10
5
0
1 2 6 13 10 1619 17 12 16 20 17 13 5 6 2 1

A histogram is a
graphical
representation of the
distribution
of
numerical data. It is
an estimate of the
probability distribution
of
a
continuous
variable (quantitative
variable) and was first
introduced by Karl
Pearson.

Scatter Diagram
Y

A
scatter
diagram, also
called a scatter
plot or a scatter
plot,
is
a
visualization of
the relationship
between
two
variables
measured
on
the same set of
individuals.

Control Chart
24
UCL = 23.35

Number of defects

21

c = 12.67

18

15
12
9
6
LCL = 1.99

3
2

10

12

Sample number

14

16

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.

Cause-and-Effect Diagram
Also Called: Ishikawa Diagram
The fishbone diagram identifies many possible causes for
an effect or problem. It can be used to structure a
brainstorming session. It immediately sorts ideas into
useful categories.
A fishbone diagram can be helpful in identifying possible
causes for a problem that might not otherwise be
considered by directing the team to look at the categories
and think of alternative causes. Include team members who
have personal knowledge of the processes and systems
involved in the problem or event to be investigated.

Cause-and-Effect Diagram
Measurement
Measurement
Faulty
testing equipment

Inadequate training

Environment
Environment

Old / worn

Quality
Quality
Problem
Problem
Defective from vendor
Not to specifications

Dust and Dirt

Tooling problems

Lack of concentration

Improper methods

Machines
Machines
Out of adjustment

Poor supervision

Incorrect specifications

Inaccurate
temperature
control

Human
Human

Materialhandling problems

Materials
Materials

Poor process design

Ineffective quality
management
Deficiencies
in product design

Process
Process

GENICHI TAGUCHI
Born in Japan, 1924
Electrical Engineer
Worked during 1950s to improve Japans post-WWII
telephone communication system
Father of the Taguchi Method and Robust
Engineering
You can still successfully apply Taguchi Method
concepts to your service business.
Basic concepts are simple.

Taguchi Design of Experiments

Many different factors, inputs, or variables need
to be considered when making a product.
For example, suppose you wanted to bake a
cake, you ask:
-- How much flour should you use?
-- How many egg?
-- How long should it bake?
-- At what temperatures should you set the oven?
However, there is a better way to design an
experiment to find out the best combination of
variables to make your product.

Taguchi Method
The Taguchi method is a standardized approach for determining
the best combination of inputs to produce a product or
service.
This is accomplished through design of experiments (DOE). DOE
is an important tool in the arsenal of tools available to the
design and process engineer.
It provides a method for quantitatively identifying just the right
ingredients that go together to make a high-quality product or
service.
Taguchi approaches design from four perspectives: robust
design,
concept design, parameter design, and tolerance
design.

Taguchi
Method is
Step-byStep:

Quality Defined
Any engineered system reaches its ideal function
when all of its applied energy (input) is transformed
efficiently into creating desired output energy.
(Robust p. 6)
Employee energy = input
Customer satisfied = output
CUSTOMER SATISFACTION
Design to the highest standards early in the process to
eliminate all non-random errors
Quality Loss = Loss to Society quantified through
Quality Loss Function
Variation (+/-) from optimal measure results in a loss.

Taguchis Loss Function

Taguchi defines Quality Level of a
product as the Total Loss incurred
by society due to failure of a product
to perform as desired when it
deviates from the delivered target
performance levels.
This includes costs associated with
poor performance, operating costs
(which changes as a product ages)
and any added expenses due to
harmful side effects of the product in
use

Exploring the Taguchi Method

Considering the Loss
Function, it is quantifiable

Larger is Better:

Smaller is Better:

L( y ) k 1 2
y

L( y ) ky 2
L( y ) k y m

Nominal is Best:

where :
m is the target of the
process specification

Quality Loss Function

L(y) = k(y-m)2
L(y) = Loss
k = constant = cost to correct
tolerance2
tolerance2

y = reported value
m = mean value (average)

(Taguchi On Robust Technology p. 22)

Example:
A Company received an average of 10 complaints(m) per
month last year.
In November they received 15
complaints (y). Management sets an acceptable level at
2 (tolerance). It costs the company $50 directly per
complaint to correct the problems. Determine the loss for
the month of November.

QFD from the Japanese -

HIN
Quality
Features
Attributes
Qualities

SHITSU

KI

Function
Mechanization

NO

TEN

KAI
Deployment
Diffusion
Development
Evolution

= QFD

Quality Function Deployment - Customer Driven

Product / Process Development

Definition of Quality Function Deployment :

There is no single, right definition for QFD; this one captures
its essential meaning:
A system for translating customer requirements into
appropriate company requirements at each stage from
research and product development to engineering and
manufacturing to marketing/sales and distribution

QFD Overview

Customer Requirements

Converted
to

Company Measures

Converted
to

Part Characteristics (Design)

Converted
to
Manufacturing Process

Converted
to

Production Requirements
(Day to Day Operations)

Where does QFD fit?

UNEXPECTED,
PLEASANT SURPRISES
3M CALLS THEM
CUSTOMER DELIGHTS

Spoken
Measurable
Range of Fulfillment

QFD
QFD focuses
focuses on
on
Performance
Performance
Needs
Needs and
and unmet
unmet
Basic
Basic Needs
Needs
Unspoken
Taken For granted
Basic
Spoken If Not Met

RECOGNIZE:
RECOGNIZE:

1)
1)The
TheImpact
Impactof
ofNeeds
Needson
onthe
theCustomer
Customer
2)
2)That
ThatCustomer
CustomerNeeds
NeedsChange
ChangeWith
WithTime
Time
3)
The
impact
of
Communication
of
3) The impact of Communication of Customer
Customer Wants
Wants
Throughout
Throughout the
theOrganization
Organization

When should QFD be used?

1

Customers are complaining or arent

satisfied with your product or service.

2 Market share
declining.

has

been

consistently

3 Extended development time due to

excessive redesign, problem solving, or fire
fighting.
4 Lack of a true customer focus in your
product development process.
5 Poor
communications
between
departments or functions.
(Over-the -wall product development).
6 Lack of efficient and/or effective teamwork.

1.Complex Product Development Initiatives

1.Communications Flow Down Difficult
2.Expectations Get Lost
2.New Product Initiatives / Inventions
1.Lack of Structure or Logic to the
Allocation of Development Resources.
3.Large Complex or Global Teams
1.Lack of Efficient And/or
Processes
2.Teamwork Issues

Effective

4.Extended Product Development Times

1.Excessive Redesign
2.Changing Team
3.Problem Solving, or Fire Fighting.

Total Quality Management

Evolution of quality Era

Evolution
TQM

TQC &CWQC
TQC
SQC
Inspection
Foreman
Craftsman

Years
1900

1920

1940

1960

1980

1990

2000

Introduction
Total Made up of the whole(or) Complete.
Quality Degree of Excellence a product or service
provides to the customer in present and future.

Management

Act , art, or manner of handling ,

controlling, directing, etc.

TQM

is the art of managing the whole to achieve

excellence.

TQM
"TQM is a management approach for
an organization, centered on quality,
based on the participation of all its
members and aiming at long-term
success
through
customer
satisfaction, and benefits to all
members of the organization and to
society."

Benefits
Improved Quality
Employee Participation
Team Work
Internal & External Customer
Satisfaction
Productivity ,Communication
Profitability & Market Share

Obstacles
Top management commitment
Changing Organization Culture
Improper planning
Continuous Training & Education

Real Life
TQM has being implemented in
TVS Group
Boeing Aircraft
Reliance
Tata
L&T
HMT
ITI

Baldrige Award
Created in 1987 to stimulate growth of
quality management in the United States
Categories

Leadership
Information and analysis
Strategic planning
Human resource
Focus
Process management
Business results
Customer and market focus

Other Awards for Quality

National individual
awards

Armand V. Feigenbaum
Medal
Deming Medal
E. Jack Lancaster Medal
Edwards Medal
Shewart Medal
Ishikawa Medal

International awards

European Quality Award

Canadian Quality Award
Australian Business
Excellence Award
Deming Prize from Japan

SLE:

TPM, Acceptance Sampling.

Total productive maintenance

In industry , total productive maintenance (TPM) is a system of
maintaining and improving the integrity of production and quality
systems through the machines, equipment, processes, and
employees that add business value to an organization.
One of the main objectives of TPM is to increase the productivity of
plant and equipment with a modest investment in maintenance.
Total quality management (TQM) and total productive maintenance
(TPM) are considered as the key operational activities of the quality
management system. In order for TPM to be effective, the full support
of the total workforce is required. This should result in accomplishing
the goal of TPM: "Enhance the volume of the production, employee
morale and job satisfaction."

Acceptance sampling
Acceptance sampling uses statistical sampling to
determine whether to accept or reject a production lot
of material. It has been a common quality control
technique used in industry. It is usually done as
products leave the factory, or in some cases even
within the factory.
Most often a producer supplies a consumer a number
of items and a decision to accept or reject the lot is
made by determining the number of defective items in
a sample from the lot. The lot is accepted if the
number of defects falls below where the acceptance
number or otherwise the lot is rejected