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QSG. QSG. Quality Support Group, Inc. Product and Process Measures Drive Continuous Product Quality and Business Improvement. Angelo G. Scangas, President Quality Support Group, Inc. 978-430-7611 www.qualitysupportgroup.com. QSG. QSG. Quality Support Group, Inc. What is on your mind?

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slide1

QSG

QSG

Quality Support Group, Inc.

Product and Process Measures

Drive Continuous Product Quality and Business Improvement

Angelo G. Scangas, President

Quality Support Group, Inc.

978-430-7611

www.qualitysupportgroup.com

slide2

QSG

QSG

Quality Support Group, Inc.

  • What is on your mind?
  • Do you have any questions?
  • What have you tried?
    • Worked or not? Why?
  • Your feedback and engagement
slide3

QSG

QSG

Quality Support Group, Inc.

Continuous Improvement Vision / Definition

Continuous Improvement is the relentless effort of top management to seek out and eliminate waste at all levels of the organization. This is achieved through a sustained, results oriented process to instill this culture changing mindset into all levels of the organization through leadership, tools and training.

continuous improvement vision definition

QSG

QSG

Quality Support Group, Inc.

Continuous Improvement Vision / Definition

Align your QMS with the achievement of organizational and business success.

slide5

Cost Of Poor Quality

  • Revenues
  • -(Cost of Operations)
  • (Cost of Poor Quality)
  • (Cost Recovery)
  • Profits
slide6

COQ = IF + AP + PC + EF

TMC

COQ = Cost of Quality

IF = Internal Failure

AP = Appraisal

PC = Prevention Cost

EF = External Failure

TMC = Total Mfg. Cost

Cost of Quality - Definition

Internal Failure (IF)

Appraisal (AP)

  • Scrap
  • Rework
  • Supplier Scrap/Rework
  • Audits
  • Equipment Maintenance
  • Inspection
  • Testing

Prevention (PC)

External Failure (EF)

  • Customer Cost
  • Warranty Cost
  • Returned Material
  • Customer Service/Complaints
  • Quality Planning
  • Training
  • Process Control
  • Process Planning
slide7

We have only hit the tip of the iceberg,

ECNs

Inspection

Premium Freight

Rework

Excess Inventory

Morale

Floor Space

There is much more to capture !!

Warranty

Lost clients

business excellence model

QSG

QSG

Quality Support Group, Inc.

Business Excellence Model
business excellence model1
Business Excellence Model

IMPACT ON

SOCIETY

Policy &

Strategy

Customer & Market Focus

CUSTOMER

SATISFACTION

ORGANIZATIONAL RESULTS

PROCESSES

LEADERSHIP

PEOPLE

SATISFACTION

People

Management

SUPPLIER &

PARTNERSHIP

PERFORMANCE

Resource & Info Management

ENABLERS

RESULTS

the iso model

Continual Improvement of the Quality ManagementSystem

Management Responsibility

Measurement, Analysis, Improvement

Satisfaction

Resource Management

CUSTOMER

CUSTOMER

Requirements

Product Realization

Product

The ISO Model

Outputs

Inputs

slide11

QSG

QSG

Quality Support Group, Inc.

The new ISO 9001:2008 requirements demand that a company:

  • understand its operations as a series of linked, interactive processes
  • manage each process by allocating resources, defining methods and criteria for monitoring and improvement
  • taking action when a process fails to meet expectations.
effectiveness
Effectiveness

Extent to which planned activities are realized and planned results achieved.

ISO 9000:2000 3.2.14

improvement and effectiveness
Improvement and Effectiveness

Top Management shall ensure that the quality policy includes a commitment to comply with requirements and continually improve the effectiveness of the quality management system.

ISO 9001: 2008 5.3

The organization shall continually improve the effectiveness of the quality management system through the use of the quality policy, quality objectives, audit results, analysis of data, corrective and preventive actions and management review.

ISO 9001: 2008 8.5

slide14

Process Flow Chart

t

n

e

m

e

Continual Improvement

g

Management

Internal

a

Corrective Actions

n

Review

Audit

a

Preventive Actions

M

Assembly,

d

Customer

Ship to

Inquiry & Quote

e

Design

Purchasing

Inspection,

t

n

Review

Customer

(Design Feasibility)

e

s

and Test

i

e

r

s

o

s

-

e

r

c

e

o

Customer

Yes

No

m

r

NDA?

P

o

Property

t

s

u

C

Supplies

t

Development

r

o

Calibration

p

p

Document

Quality

u

Training

S

Control

Records

slide15

PROCESS MAP FOR PRODUCTION

Inputs/Materials

(With what?)

Demand

Parts

Equipment

Computers

Facility

Measures

(Trend Charts)

Defect Per Million

Productivity

OTD to Customers

Outputs

Products

Transactions

Production Process

(Major Elements & Boundaries)

*Start- 1. Production schedule

2. Verify Work Instructions

3. Perform machine set-up(s)

4. Material Prep

5. Build and verify first piece

6. Build lot

7. Final product audit

*End- 8. Transact to Non-netable Limbo

Process Owners: Cell Administrators

Suppliers

(By whom?)

Cell Administrator

Cell Leader

M. Q. Engineer

Material Handler

Asemblers

Set-Up Technician

Customers

(For whom?)

Shipping

Customer Service

External Customers

Methods

(How?)

Work Instructions

Training

Non-conforming Material

Preventive Maintenance

Calibration

Documentation Control

Records (test results)

Skills/Training & Competency

(Of whom?)

Qualifications (Job Descriptions)

PFP for Salaried

Skills matrix for direct labor

Ergonomic/Safety

Policies and Procedures

slide16

4 Panel Report - Example

Pane 1 – Where are we?

Pane 2 – Why are we here?

6.00%

$350,000.00

5.00%

$300,000.00

4.00%

$250,000.00

Percentage of Paid Shipments with Exception

3.00%

$200,000.00

2.00%

$150,000.00

$100,000.00

1.00%

$50,000.00

0.00%

July FY06

Aug FY06

April FY06

May FY06

June FY06

March FY05

$0.00

October FY05

January FY05

February FY05

November FY05

December FY05

September FY05

1 2 3 4 5 6 7 8 9

Month

Pane 3 – How did we get here?

Pane 4 – What do we do now?

Run Chart Data Exceptions by Month

Action Plan

Action Resp Date Comment

Month

Paid shipments

# Exceptions

Exceptions

Goal

September FY05

886

43

4.85%

2.50%

October FY05

1139

32

2.81%

2.50%

November FY05

1103

45

4.08%

2.50%

December FY05

1346

48

3.57%

2.50%

January FY05

993

38

3.83%

2.50%

February FY05

856

36

4.21%

2.50%

March FY05

1056

44

4.17%

2.50%

April FY06

923

33

3.58%

2.50%

May FY06

877

13

1.48%

2.50%

June FY06

891

14

1.57%

2.50%

July FY06

779

9

1.16%

2.50%

Aug FY06

923

7

0.76%

2.50%

the qsg model
The QSG Model

In the following example, an organization has identified several quality objectives and has collected data on the results of these objectives. Using a gap analysis technique, the results are compared to the objectives and the degree of effectiveness of the QMS is established for a given time period.

analysis of data

Organizational

Objectives

Customer requirements

Statutory & regulatory requirements

Defect rate and customer returns

QMS controls

Purchasing

Analysis of Data

Organizational

Results

Customer satisfaction

Statutory & regulatory compliance

Quality system metrics

Examples of results recorded by the Organization

Inspection and test

Supplier performance

effectiveness of the qms

100

100

0

0

Effectiveness of the QMS

Organizational

Objectives

Organizational

Results

The gap measures the lack of effectiveness of the quality management system.

The narrower the gap, the more effective the QMS.

Things are looking good!

effectiveness of the qms1

100

100

0

0

Effectiveness of the QMS

Organizational

Objectives

Organizational

Results

The gap measures the lack of effectiveness of the quality management system.

Management should get a wake up warning!

effectiveness of the qms2

100

100

0

0

Effectiveness of the QMS

Organizational

Objectives

Organizational

Results

The gap measures the lack of effectiveness of the quality management system.

The Organization is in trouble!

improvement in the qms

Improvement in the QMS

% 100 75 50 25 0

Improvement in the QMS

Organizational

Objectives

Organizational

Results

improvement in the qms1

These actions may cause the organization to revise its objectives.

Improvement in the QMS

Organizational

Objectives

Organizational

Results

Improvement Initiatives

What actions are taken when gaps are identified?

Customer Focus

Corrective Action

In this example, the organization identified three key areas for improvement.

Procurement

management review

100

100

Organizational

Objectives

Organizational

Results

Improvement Initiatives

0

0

Customer Focus

Management Review

Corrective Action

Procurement

Management Review

The improvement processes are also evaluated during management review meetings and appropriate action taken.

Which may cause the organization to again revise its objectives.

conclusion
Conclusion

The overall result of using the QSG model is an enhanced pro-active approach to meet QMS objectives and more importantly their related corporate business and/or financial objectives.

The effectiveness of the quality management system in meeting both quality and/or business objectives is likely to be the key attribute that ensures the on-going support and resource allocation to maintain the quality management system within the corporate environment.

slide26

QSG

QSG

Quality Support Group, Inc.

THANK YOU!

Angelo G. Scangas

President

Quality Support Group, Inc.

978-430-7611

WWW.QUALITYSUPPORTGROUP.COM